
fe* HI ? 72 .4/ 

Rnnlr ^7 

Copyright i\°_ 

COPXKIGHT DEPOSm 




Flag Raising at the Chester Shipbuilding Company 

The first step toward industrial Americanization and the development of plant spirit is to 
provide the right environment. 



Labor Maintenance 

A Practical Handbook of 
Employees' Service Work 



By 

DANIEL BLOOMFIELD 

Of Bloomfieid and Bloomfield, Consultants in Employment Manage- 
ment and Industrial Relations; Author of "Employment Manage- 
ment," "Modern Industrial Movements," "Problems of Labor"; Asso- 
ciate Editor, "Industrial Relations," "Bloomfield's Labor Digest." 




NEW YORK 
THE RONALD PRESS COMPANY 

1920 






fri 



Copyright, 1920, by 
The Ronald Press Company 



All Rights Reserved 



©CU576952 



18 1320 



To 
Mr. and Mrs. A. Lincoln Filene 



PREFACE 

There has long been a need for a book which points the 
way to better methods in what was once known as "welfare 
work" and to make clear the principles which must underlie 
sound service work with employees. The need for a practical 
handbook has also been evident ; and with these needs in view 
the author has prepared the present volume. 

The aim throughout has been to give as many practical 
examples of successful work as possible, so that employers, 
employment executives, and service workers would have at 
hand the experience of other concerns combined with informa- 
tion and discussion as to the best practice. Like other new 
developments in industry, employees' service work will have 
to go through the stages of experimentation; but there is no 
need for costly mistakes due to a wrong conception of the 
purpose of such work, and it is in the hope that this book 
may be of assistance in avoiding pitfalls that it is offered to 
industrial executives and others interested in the subject. 

The author wishes to make grateful acknowledgment here 
of the generous assistance given him in the preparation of 
this volume by Mrs. Edith Reider Barron, formerly of the 
International Harvester Company, Meyer Bloomfield, J. W. 
L. Hale, formerly in charge of apprenticeship work of the 
Pennsylvania Railroad and recently with the Chester Ship- 
building Company, who assisted in preparing Chapter V; to 
Frederick J. Allen, author of "The Shoe Industry" and other 
contributions to industrial literature, and who gave material 
help in the preparation of some of the chapters; to Albert 



vi PREFACE 

Pick and Company, for data on employees' lunchrooms and 
cafeterias ; and to executives and officials of various companies 
who have co-operated with the author in making the informa- 
tion in this book available to readers. 

Daniel Bloomfield. 
Boston, Massachusetts, 
September I, 1920. 



CONTENTS 



Chapter Page 
I Need for Service Work 3 

New Interpretation of an Old Problem 
Wastes Owing to Labor Turnover 
Conditions in Metal Plants 
Magnus Alexander's Investigation 
Some Street Railway Figures 
Detroit Conditions 
Transportation 
Shipbuilding 
Cloak and Suit Trade 
Conditions in Milwaukee 
Factors in the Cost of Labor Turnover 
Subject Under General Study- 
Plant Maintenance and Labor Stability 
Co-operation of Worker and Management Necessary 

II Service Work — The Right Foundation 14 

"Welfare Work " — Its Failure 

Workers' Dislike of Being Patronized 

Organized Labor Suspicious 

England — "Welfare Supervisors " 

"Trade Union" Views 

A Better Name— " Service Work " 

Aims and Ideals 

New Conception of Employment 

Service Work and Industrial Justice 

Service Work Good Business 

A Constructive Force — Brings Co-operation 

Conditions of Work Must Be Good 

Wages Must Be Fair 

Properly Co-ordinated Effort 

III The Employees' Service Department — Its Relation to 

Other Departments 26 

Proper Name for the Department 

Service Department Includes Employment 

One Plan — Executive Board 

Employment and Service Department 

Plimpton Press Plan 

Terminology 

What "Employment" Should Imply 

What "Service" Should Imply 

What the Department Should Be 

vii 



viii CONTENTS 

Chapter Page 

In Large Concerns — Department of Industrial Relations 
Sometimes Called "Labor Department " 
Sometimes — "Personnel Department " 
Under Whom Shall the Department Function? 
General Manager 
Works Manager 
Industrial Relations Manager 

IV Internal Organization op the Service Department . .42 

Size of the Department 

Office Organization — System 

Filing and Record 

The Executive Always Accessible 

Conferences 

Special Studies and Reports 

Keeping in Touch with Other Concerns 

Planning Activities 

Making New Workers Feel at Home 

Instructions for "Interviews " 

Greeting New Employees — The Wrong Way 

Greeting Employees — The Right Way 

Utilizing the Rulebook 

"Follow-up" Men 

Other Activities Outlined 

The Budget — The Department's Estimate 

The Employer's Estimate 

V The Service Manager 56 

A First-rate Executive Needed 
General Qualifications 
Training and Experience 
Personality 
Judgment 
Possibilities 

Where to Find the Man 

Correlation of the Employment and Service Departments 
Duties of the Employment Manager 
Duties of the Service Manager 
The English Viewpoint 
Duties Inside and Outside the Factory- 
Inside Supervision of Working Conditions 
Canteens for Workers 
Ambulance, Restroom and First Aid 
Cloakrooms and Sanitary Conveniences 
Outside the Factory 
Personal Records of Employees 
The Future of Service Work 

VI Building Up a Plant Spirit 69 

The Problem of Morale 

Plant Spirit — Right and Wrong 

What Plant Spirit Is 

1 . Right Working Conditions 

2. Elimination of Fear and Uncertainty 



CONTENTS ix 

Chapter Page 

Limiting the "Power of Discharge " 
A Plan for Regulating Discharges 
Employees Must be Treated Fairly 

3. The " Other Fellow's Point of View " 

4. Self-help Through Mutual Respect 

A Specific Instance of the Development of Self-help 

5. Opportunities for Advancement 

6. Enthusiasm of Management 
The Part of the Foreman 

New Conception of the Foreman's Job 

The Stupid Foreman a Handicap 

Reaching the Foreman — Labor Efficiency Bulletins 

A Remarkable Record of Plant Spirit 

VII Training the Worker 87 

Need of Industrial Training 
Benefits of Training — Efficiency 
Aims of Training 
History of Trade Education 
The Decline of Trade Education 
The Revival of Trade Education 
Aim of the New Trade Education 
Training for Every Worker 
Advantages — Better Relations 
Advantages — Reduction of Labor Turnover 
Job Adjustment — Survey 
The "Job Adjuster" 

A Concrete Example of the Value of a Job Adjuster 
Apprentice Schools as Selective Media 
Increased Training Means Increased Production 
Kinds of Industrial Training 
Mechanical Trade Training 
Office Training 
Emergency Training 
Determination of Method 
■ Instructors 

Physical Equipment 
Correlation of Shop and School 

VTII Some Training Systems 104 

Wide Variety 

The Pennsylvania Railroad Company 

The Brown and Sharpe Plan — Objects 

School Work 

Requirements for Apprenticeship 

The Cincinnati Milling Machine Company 

The Simonds Manufacturing Company 

The Larkin Company 

Goodyear Tire and Rubber Company — Special Devices 

The Factory School 

The Western Electric Company 

The Packard Motor Car Company 

The Wanamaker Plan 

The Filene Plan 



X CONTENTS 

Chapter Page 

Other Plans 
Training Shipbuilders 
Aids for Establishing and Conducting Industrial Training 

IX The Problem of Americanization 121 

The Influence of Foreign-born upon Industry 

"Industrial Americanization " 

"What America Means " 

Americanization — A Humanizing Program 

The Importance of First Impressions 

Managerial Attitude — A Determining Factor 

The Right Attitude 

The Americanization Committee 

The Influence of Plant Spirit 

Getting Behind the Returns 

A California Commission 

Report of the Commission 

An Ohio Plan 

Emphasis on Practical Results 

The Scope of Americanization Work 

X Teaching the Foreigner Our Langauge 135 

The Importance of Teaching English 
Forming Classes for Study- 
Selection and Training of Teachers 
Fostering Interest 
The Problem of Attendance 
Language of the Classroom 
Methods of Teaching 
Variety Aids Greatly 
Drill in Grammatical Expressions 
Work of the Bethlehem Steel Corporation 
The Ford School 

The Goodyear Rubber Company's Plan 
Other Factories Conducting Classes 
Co-operation with Public Schools 
Using Company Time 
Teaching English Pays 

XI Further Aids eor Americanization 148 

Study of American Institutions 

Necessity for a Well-balanced Educational Plan 

Utilizing All Means of Approach 

Factory Activities 

Noon-hour Meetings 

Plant Newspapers 

Pay Envelopes 

Plant Census 

The Brown and Sharpe Company's Work 

Naturalization 

Delaware Study of the Naturalization Problem 

Co-operating with the Community 

Assistance from Local Governments 

The Public Library 



CONTENTS XI 

Chapter Page 

Assistance from Chambers of Commerce 

Massachusetts Department of University Extension Bulletin 

XII The Worker's Health 164 

The Conservation of Human Energy 

Benefits Accruing to Industry 

New Qualities Required of Managers 

Loss of Time from 111 Health, Accidents, etc. 

Number of Industrial Accidents 

Effect Upon Labor 

New Conception of Health Work 

Industrial Medicine — the First Phase 

Industrial Hygiene — the Second Phase 

The Industrial Physician — a New Profession 

Legislation versus Voluntary Action 

XIII Organizing a Plant Health Department 174 

Work of the Health Department 

Relation to the Plant 

The Industrial Clinic or Emergency Hospital 

Equipment of Emergency Hospital 

Minimum Requirements of the Department 

Personnel of the Department 

Training the Industrial Physician 

Industrial Nurses 

Course of Training for Industrial Nurses 

Work of the Standard Oil Company 

The American Rolling Mill Company 

The American Cast Iron Pipe Company 

The British Government's Requirements 

XIV Work of the Plant Health Department 191 

Physical Examinations 

Objections and Difficulties 

Western Electric Company 

Avery Company 

Other Methods 

Dental Service 

Operation of Dental Clinics 

National Cash Register Company 

Eye Treatment 

The Visiting Nurse — Her Qualifications and Functions 

Eastman Kodak Company 

Training of Nurses 

Restrooms for Women 

Health Campaigns 

Training in First Aid 

Physical Training 

Shower Baths 

Co-operation with Community Organizations 

XV The Worker at Play — The Need for Recreation . . 208 

Efficiency Requires a Change of Occupation 
Need for Recreation 



xu CONTENTS 

Chapter p AGE 

Recreation and Working Power 

Some Primary Considerations 

Organized Play is Sound Business 

Self-directed Recreation Best 

Freedom in Recreation 

The Example of the Cities 

Recognition of Benefits of Recreation 

Employee Management of Recreation 

The Democracy of Play 

The Alien in Recreation 

The Advantages of Athletics 

Motion Pictures 

Restrooms — Example of Eastern Manufacturing Company 

Clubhouses — Work in Mining Camps and Steel Plants 

Recreational Possibilities of the Clubhouse 

The Company Park 

The Country Club 

Music as Recreation 

XVI The Worker at Play — Methods of Recreation . .222 
Scope of the Chapter 

The Wagner Electric Manufacturing Company 
Interdepartment Games 
The United States Steel Corporation 
The Bush Terminal 
The Pennsylvania Railroad System 
The National Cash Register Company 
Sears, Roebuck and Company 
The Curtis Publishing Company's Country Club 
The Brass Band 
Operating Expenses 
Organization and Practice 

Other Musical Activities — Their Influence upon Morale 
Some Company Organizations 
Glee Club of Metropolitan Life 

Choral Society of Strawbridge and Clothier Company 
Dramatics 

Suggestions for "Putting On" a Play 
A Final Word 

XVII Accident Prevention — Safety Work 236 

Place of Safety Work in Labor Maintenance 

Safety Work Pays 

Reduced Accident Frequency 

Decreased Compensation Liability 

National Safety Council Statistics 

Duties of the Management 

Duties of the Foreman 

The Workmen's Committee 

Duties of the Safety Engineer 

Monthly Record Sheet for Accidents 

Safety Specifications for New Equipment 

Suggested Plans for Organization 

The Eastman Kodak Company's Organization 



CONTENTS xiii 

Chapter Page 

The United States Steel Corporation's Plan 

Interesting the Worker in Safety 

Safety Meetings 

Other Means of Fostering Interest 

The Avery Company's Campaign 

An Accident Prevention Score-board 

Development of Self-control 

XVIII Developing a Suggestion System 259 

A Suggestion System as an Investment 

The Influence of Managerial Attitude 

"Selling " the Idea to Managers 

The Right Foundation 

Stimulating the Employee's Interest 

Dangers of Mechanical Management 

Tapping a Reserve of Energy 

The Eastman Kodak Company's Plan 

Awards for Suggestions 

The National Cash Register Company's Plan 

Method of Handling Suggestions 

Prizes for Six Months' Suggestion Contests 

Other Suggestion Systems 

A Good Suggestion Well Worth its Cost 

XIX The Employees' Lunchroom and Restaurant . . .275 
Importance of Food upon Labor Maintenance 
Findings of British War Ministry 
A Good Business Policy 
The Pierce- Arrow Company 

The National Cash Register Company's Lunchroom 
Commonwealth Steel Company's Plan 
Further Lunchroom Plans 
Percentage of Employees Using Restaurant 
Cost and Selling Prices 
Farming Out Restaurant Privileges 
Method of Service — Cafeteria or Serving Counter 
Essential Requirements of a Successful Restaurant 
Equipment 

Kind and Quality of Food 
Effective Menus 

XX The Plant Newspaper or Magazine 291 

A Medium of Intercommunication 
Means of Stimulating Production 
Giving Personality to the Concern 
Elements of a Successful Paper 
The Paper's "iMake-up" 
The News Element 
Date of Issue — Distribution 
Special Features 
A Few Successful Plant Papers 
The Editorial Staff and its Work 
Functions of the Editor 
Editorial Conferences 



xiv CONTENTS 

Chapter Page 

Functions of the Business Manager 
Financing the Paper 
The Question of Advertising 

XXI The Housing Problem — Importance 306 

The Housing Problem 

Good Housing Versus High Labor Turnover 

Importance of Housing Taught by the War 

Industrial Housing in England During the War 

Industrial Housing in the United States in War Time 

Results of Inadequate Housing 

Report of the Housing Corporation 

Frederick Law Olmsted's Views 

Housing Development of United States Shipping Board 

The Importance of Housing in Peace Times 

Good Housing and Health 

Suggestions for Proper Housing 

XXII The Housing Problem — What to Do 321 

The Duty of Industry as to Housing 

Fairbanks Morse Company's Plan 

Housing Betterment in Maine 

The Clark Equipment Company 

The General Motors Corporation 

Aiding Employees to Purchase 

Method of Payment on Dwellings 

A Unique Development 

The Goodyear Tire and Rubber Company 

The Firestone Tire and Rubber Company 

The Gary Plan 

Indian Hill 

Other Noteworthy Efforts 

Further Instances 

Housing the Unmarried Worker 

The Real Estate Bureau and Room Registry 

Separate Housing Corporation — The Best Method 

How to Go About It 

XXIII Financial Aids — Mutual Benefit Associations . .339 

The Elimination of Uncertainty as to the Future 

Methods of Providing for the Future 

The Nature and Growth of Mutual Associations 

Chief Forms of Benefits 

How the Employer Can Help 

The Basis of a Successful Organization 

Procedure in Organizing 

Sound Financial Policy 

Types of Organization 

The Pennsylvania Railroad Plan 

Classes of Membership 

The Relief Department 

The Bridgeport Brass Company 

The Plan in Operation 



CONTENTS XV 

Chapter Page 

Benefits 

The Visiting Committee 

The White Motor Company 

An Excellent Plan 

The American Chain Company 

The General Electric Company 

An Unusual Type of Plan 

The Pennsylvania Agricultural Works 

The Dodge Mutual Relief Association 

Co-operative Associations — Employees 

Aid from Employers 

Saving Funds 

Selling Stock to Employees 

XXIV Financial Aids— Group Insurance 357 

Gradual Development of Insurance Idea 

Early Mutual Insurance for Workers — Defects 

Range of Mutual Insurance in Industry 

Legislative Control 

How Employers Can Help Mutual Insurance 

Why Industry Has Taken Up Insurance 

Self-help Among Workers — Benefit to Employees 

Group Insurance 

The Principles of Group Insurance 

Advantages and Disadvantages 

How the Plan Has Operated 

Synopsis of a Group Insurance Policy 

XXV Financial Aids— Profit-sharing, etc 369 

Service Annuities, Pensions, and Service Bonuses 

Solvay Process Company's Pension Fund 

The American Sugar Refining Company 

Swift and Company 

The Bell Telephone Company 

Service Rewards 

How the Plan Works 

The Wage Bonus 

The Nature and Growth of Profit-sharing 

History of Profit-sharing 

Opinion Growing in Favor of Profit-sharing 

A Succinct Statement of the Case 

Profit-Sharing Defined 

Bonuses not Profit-Sharing 

Profit-Sharing in Successful Concerns — A. W. Burritt Company 

The Hall- Scott Company 

Morris and Company 

An English Plan 

The Endicott-Johnson Company 

The Solvay Process Company's Profit-sharing Plan 

Sears, Roebuck and Company 

An Exposition of the Plan's Working 

N. O. Nelson Company 

Summary 



xvi CONTENTS 

Chapter Page 
XXVI Linking Up With the Community 390 

The Community Idea 

The Obligation of the Employer 

Kinds of Industrial Communities 

Community Organization 

The Community Secretary 

The Civic Center 

An Example of Community Building and Improvement 

Two Examples of Steel Corporation Towns 

The Four Bases of Community Welfare 

Community Festivals and Mutual Enterprises 

Strictly Community Festivals 

Folk Festival of Norton Grinding Company 

Pageant of Merchant Shipbuilding Company 

Minor Community Activities 

Gardening 

Playgrounds and Kindergartens 

Education 

Building Citizens 

Athletics 

Community Singing 

A Development of the Community Idea 



Appendix A — Form of Recording Labor Turnover — Explanation 410 

B — Estimating Employment Costs — Classification of 

Persons Employed 421 

C — Sanitary Standards for Factories and Shops . . 424 

D — Plan for Shop Safety Organization 430 

E — Terms of Apprenticeship Agreement . . . . . 451 

F — By-laws Dodge Mutual Relief Association . . 454 

G — By-laws and Forms, Cheney Brothers Benefit Asso- 
ciation and Pension Regulations 473 



FORMS AND ILLUSTRATIONS 



Figure Page 
Flag Raising at the Chester Shipbuilding Company . . Frontispiece 
i. Table Showing the Functions of the Service Department as Con- 
ceived by the Hood Rubber Company 29 

2. Organization Chart of Service Activities 31 

3. Diagram of the Personnel Department at the Plimpton Press . . 33 

4. Chart Showing the Relation of Employment and Service Manager 

to Other Administrators 38 

5. Department Classification of Industrial Relations Activities in a 

Large Establishment 39 

6. Chart of the Functions of the Employee's Service Department in a 

Large Establishment 39 

7. Table Showing Effect of Service Work as Administered in 431 

Concerns 40 

8. Pictorial English Lessons with Phonetic Translations 152 

9. Specimen Circulars Urging Citizenship 154, 155 

10. Americanization Census Card 156 

11. Nationality Survey Blank 158 

12. Outline of a Course in Industrial Medicine and Public Health . . .185 

13. Graphical Representation of Accident Frequency Rates .... 239 

14. Diagram of the Duties of the Safety Engineer 245 

15. Weekly and Monthly Record Sheet of Accidents 246 

16. Organization Chart for Safety Work 249,250 

1 7. Examples of Slogans on Pay Envelopes 255 

18. An Accident Prevention Score-board 257 

19. Preliminary Suggestion Blank 264 

20. Regular Suggestion Blank 265 

21. Acknowledgment of Suggestion Form 266 

22. Form Used in Filing Suggestions 266 

23. Superintendent's Copy of Suggestion 267 

24. Report Blank on Suggestions 268 

25. Commissary Department Chart 280 

26. Table of Food Values 289 

27. Table of Industrial Benefits and Insurance Premiums 345 

28. Form for Recording Labor Turnover 413-416 

29. Certificate of Illness 502 

30. Sample Notice of Membership in Benefit Association 503 

31. Form for the Rejection of Full Membership in Benefit Association 504 

32. (a) ■ Certificate of Full Membership in Benefit Association .... 504 
(b) Terms of Full Membership in Benefit Association 505 

33. Certificate of Limited Membership in Benefit Association . . . . 505 

34. Accident Report Blank 506-509 

35. Accident Disability Record Card 510 

36. Sickness Disability Record Card 511 

37. Personal Record Card 512,513 

xvii 



Labor Maintenance 



CHAPTER I 

NEED FOR SERVICE WORK 

New Interpretation of an Old Problem 

Among the most important and difficult problems in in- 
dustry today, is that of so maintaining the labor forces that 
there may be the fewest possible number of changes in per- 
sonnel, the minimum of labor friction, and the maximum of 
production. In the past, industrial managers have concen- 
trated on the mechanics of production or organization; they 
have eagerly sought and accepted new methods of reducing 
wastes; but until recently they have not given sufficient time 
to that matter which goes to the very heart of industrial 
efficiency — the human problem. It was not until employers 
in general awakened to the startling wastage of human ma- 
terial and its cost to them individually, as well as to industry 
in general, that real attention became centered on problems 
of man-power and its maintenance. 

Secretary William C. Redfield recently called us the "In- 
dustrial Wasters of the World," and none may gainsay that 
we have suffered prodigious labor losses to take place without 
a recognition of their existence or their consequences. But 
a scarcity of labor, brought on by the cessation of immigra- 
tion, by the absorption of millions of productive men in the 
Great War, and a desire of the workers for a larger interest 
in their daily employment have brought us face to face with 
a problem which we must now solve, and solve intelligently. 

There is an ominous grumbling against inefficiency with 
its reckless hiring and firing, and its apparently greater solici- 
tude for machines than for men, in present-day management. 

3 



4 LABOR MAINTENANCE 

The increasing number of workers who voice this protest are 
asking for a share in the control of the conditions under which 
they work so that they may reduce the hazards to which they 
are subject and be enabled to live a more satisfactory life. 
What are some of the facts? 

Wastes Owing to Labor Turnover 

The turnover of labor in industry has been and still is 
appallingly large. Its costs have amounted to millions of 
dollars. Some of the following examples have been often 
quoted but they are still worth noting because of their im- 
portance. 

Conditions in Metal Plants 

A study of twenty metal plants in the Middle West, made 
in December, 1914, by A. W. Grieves of the Jeffrey Manu- 
facturing Company, revealed the fact that it was found neces- 
sary to hire 69,000 men to maintain an average of 44,000. 

Magnus Alexander's Investigation 

In 191 5, Magnus Alexander studied the employment 
records of the year 19 12, in twelve metal concerns where 
there were 37,274 workers at the beginning, and 43,971 at 
the end of the year. During this time 42,571 new employees 
were hired. The increase in the working force amounted to 
6,697. The significant fact is that 35,874 persons were hired 
in excess of the required increase. Mr. Alexander, in The 
Nation's Business. September, 1916, said: 

Theoretically, only as many persons ought to have been hired 
as were needed permanently to increase the force; practical allow- 
ances, however, must be made to compensate for the following factors 
applicable to workers generally. 

It may be assumed: 



NEED FOR SERVICE WORK 5 

i. That i per cent of the regular force of employees under 
investigation die within a year and must be replaced. 

2. That 4 per cent are incapacitated for work by sickness for 
more than two weeks and must be replaced temporarily or 
permanently. 

3. That 8 per cent withdraw from service from whatsoever reason 
or are discharged in the course of a year and must be replaced. 

4. That 8 per cent of the normal force must be added for 
temporary work and for normal fluctuations in production. 

5. That 80 per cent constitute a satisfactory efficiency of a hiring 
department. 

It follows, therefore, that without any permanent increase in 
the working force, 2634 per cent of the total force would have 
to be rehired during the year. The same allowances must be applied 
to the number of employees required to give a permanent increase 
in the working force. 

Applying these factors to the problem in hand we find that the 
engagement of 13,843 persons, in addition to the 6,697 for permanent 
increase, or the total engagement of 20,540 persons, would have 
been justified to cover withdrawals by death, sickness, resignation 
and discharge, and to allow for production fluctuations and practical 
employment results. But 42,571 persons, however, were engaged, 
or 22,031 above the apparently necessary requirements. 





Total 


New 


Rehired 


Group A, Highly skilled mechanics 


2,781 

3,818 

7,388 

7,100 

944 


2,031 

2,787 

5,393 

5,i83 

689 


750 


Group B, Mechanics of ordinary skill and 
experience 

Group C, Operatives requiring very little 
skill 


1,031 

i,995 
1,917 


Group D, Unskilled laborers 


Group E, Shop clerical force 


255 




Total 


22,031 


16,083 


5,948 







It is obviously impossible to determine with any degree of accuracy 
what amount of money is represented in this unnecessary hiring of 
over 22,000 persons. The waste per person depends on his rate 
of wages, how much training he requires, and whether errors made 
by him during his training involve damage to high- or low-priced 



LABOR MAINTENANCE 

tools or materials. Industrial managers who have hazarded a guess 
have made various estimates, ranging from $30 to $200 per person. 
In order to establish as closely as practicable the facts of the case, 

1 divided the number of persons apparently unnecessarily hired into 
five groups, as given on page 5. 

The expense factors of hiring and training of employees in any 
group are: 

1. Clerical expense in hiring department. 

2. Instruction of foremen and assistants. 

3. Increased wear and tear of apparatus. 

4. Reduced rate of production. 

5. Increased amount of spoiled work. 

The following table shows the values assigned to each factor in 
each group; due weight having been given to the lesser expense for 
rehired employees: 



Group 


Hiring 


Instruction 


Wear and 
Tear 


Reduced 
Production 


Spoiled 
Work 


Total 


Rehired 
Employees 


A 

B 

C 

D.... 

E 


$.50 
.50 
.50 
.50 
• So 


$ 7- 50 

15.00 

20.00 

2.00 

7.50 


$10.00 

10.00 

10.00 

1 .00 

1. 00 


$20.00 

18.00 

3300 

5.00 

20.00 


$10.00 
15.00 
10. 00 


$48 . 00 

58.50 

73.5o 

8.50 

29.00 


$10.00 

20.00 

35.oo 

5.00 

10.00 



When these values are multiplied by the number of new and 
rehired employees in each group, the result shows that the apparently 
unnecessary engagement of 22,031 employees in one year in the 
twelve factories under investigation involved an economic waste of 
$831,030. This amount will reach more than a million dollars 
if the reduced profits, increased overhead expenses owing to reduced 
production, expense of physical examination and that resulting from 
abnormal accident occurrence common to green workers, are taken 
into consideration. 



Some Street Railway Figures 

A study of street railway employment made by the United 
States Department of Labor brought out very clearly the high 



NEED FOR SERVICE WORK 7 

labor turnover rates prevailing in that branch of the trans- 
portation industry. As reported in the Monthly Review for 
August, 19 1 7, the average annual turnover rate for motormen 
in the 96 companies reporting to the department was 38.4 
per cent. While the turnover in 13 companies was as low 
as 10 per cent, in 5 companies it was over 100 per cent. In 
the case of conductors the statistics were even more startling, 
for in 12 out of the 96 companies the turnover was 100 per 
cent or over. 

Detroit Conditions 

Analysis of the turnover figures in 57 Detroit plants, 
according to an address by Boyd Fisher before the Employ- 
ment Managers' Association, Boston, 191 7, gave an average 
of a little over 252 per cent a plant. This was largely owing 
to unusually bad labor conditions, but "the figures," says Mr. 
Fisher, "are not as high as they would be if they did not 
include the comparatively low averages of plants having em- 
ployment departments, as well as plants which allow foremen 
to do their own hiring and firing. An analysis of plants hav- 
ing labor departments against those having no labor depart- 
ment shows that, roughly averaged, the plants having no em- 
ployment department hired 3 men to every 2 hired by those 
which did have employment departments/' 

At the Ford Motor Company, Detroit, in 1913, 52,445 
workers were hired and 50,488 left. "The stream going out 
of the door was almost as great as that coming in," says an 
official of the company. During the period of 15 months 
from June, 1915, to ' September, 1916, 25,670 entered the 
employ of the company and 7,031 left for various reasons. 
In 1916, after the installation of an employment department 
to increase the working force 100 men, it was necessary to 
hire 136 men; previous to that year, 963 men had to be hired 
to accomplish the same results. 



8 LABOR MAINTENANCE 

Transportation 

The Southern Pacific Railway Company recently estimated 
its annual turnover to be 150 per cent. Taking this as an 
average figure, says a recent number of American Industries, 
for all the railways of the country, which employ about 1,800,- 
000 men, it is necessary to hire 2,700,000 men each year in 
order to maintain the 1,800,000 workers. On the assumption 
that it costs $10 for each man broken in, the total cost of this 
labor turnover would be $27,000,000. 

Shipbuilding 

At a conference of shipyard employment managers in 
Washington, D. C, November 9, 19 17, Rear Admiral Capps 
made the statement that "in 64 yards, of which we have recently 
had accurate data, the turnover averaged 235 per cent a week 
or so ago, and probably was 300 per cent at the last report. 
In the course of a year you could well realize what this means 
in the volume of men passing through your works without an 
adequate return in labor." 

"As a result of difficulties at the Hog Island Shipyard," 
says the report of the United States Attorney-General who 
investigated affairs there, "labor became so disorganized, men 
were shifted from job to job, and were hired and quit so 
frequently that the labor turnover was from 50 to 100 per 
cent a week." * 

Shortly after the armistice was signed, the Chief of the 
Naval Bureau of Yards and Docks told the House of Repre- 
sentatives' Naval Committee that some contractors reported a 
labor turnover as high as 50 per cent a week. 

Cloak and Suit Trade 

A recent study covering the 18 cloak and suit establish- 
ments affiliated with the Cleveland Garment Manufacturers' 



1 See the Official Bulletin of the United States, December 23, 191 



NEED FOR SERVICE WORK 9 

Association, and three other shops besides, made by the United 
States Department of Labor, revealed a labor turnover of 
about 92 per cent a year for the industry. 

This percentage is based on figures furnished by slightly 
over one-fourth of the firms studied. 

One employer having an average of 50 workers had a 
turnover of 1,200 per cent, a condition characteristic of other 
small shops in the trade. The investigator attributes this 
condition in part to the "careless and haphazard methods used 
in dealing with the labor phase of their business" and states 
that "about seven-tenths of the labor turnover of the industry 
was caused by voluntary separations, to accept positions which 
offered better earning opportunities or more desirable condi- 
tions of employment." 

Conditions in Milwaukee 

A recent study of 21 establishments in Milwaukee with 
an average of 26,662 employees actually working, which was 
conducted by the Bureau of Labor Statistics and reported in 
the Labor Review, April, 19 19, showed these conditions: 

Discharged 3,042 

Laid off 863 

Entered military service 2,323 

Quit 30,788 

37,016 

These are only some of the facts. The profession of 
employment management is new and its principles not yet 
fully crystallized or universally in operation; it will therefore 
take some time before we can have a complete audit of the 
costs resulting from labor turnover. We have definite figures 
of our losses with reference to industrial accidents, ill health, 
and disease, but we have not yet a complete picture of the 



IO LABOR MAINTENANCE 

enormous losses which attend the unintelligent management of 
labor. 



Factors in the Cost of Labor Turnover 

Nevertheless, the costs of an unsettled working force have 
been measured with a fair degree of accuracy. (See Ap- 
pendices A and B.) Anyone can see that it must cost a 
considerable amount to hire, place, train, and lose workers. 
Some of the elements which enter into such costs are: 

1. Salaries of executives, clerks, and others on the staff 

of the department. 

2. Cost of printing, stationery, and supplies for the de- 

partment. (The cost of equipment, rent, light, and 
heat is a factor to be considered in certain cases. ) 

3. Cost of advertising for new workers, or getting in 

touch with sources of labor supply. 

4. Cost of breaking in or training new workers. This 

may include the time of the executive or workman 
who instructs the new worker. 

5. Non-production during the period of initiation. 

6. Inadequate production during the period of initiation. 

7. Imperfect work. 

8. Repeated corrective work. 

9. Retarded production of the gang, group, or department 

in which the new worker is placed. 

10. Spoiled work. 

11. Abuse of tools, machines, or equipment. 

12. Cost of medical supervision. 

13. Cost of accidents. 

14. Loss of employees' good-will. (This is hardly meas- 

urable but should be considered.) 

Cost to the employee will be: 
1. Loss of new employee's time in getting adjusted. 



NEED FOR SERVICE WORK 1 1 

2. Probable low starting wage for the new worker. 

3. Time lost in seeking another job if employee finds 

present job unsatisfactory or if present job finds 
him unadaptable. 

Subject under General Study 

Far-sighted employers are now turning their attention to 
the problem of keeping their workers. The subject is also 
being studied by the federal government through its various 
agencies, by chambers of commerce throughout the country, 
by economists, by trade unionists, in fact by everyone con- 
cerned about the growing unrest and the future of industry. 
It is not easy to obtain a satisfactory solution, but we can 
at least approach the problem with the proper point of view 
and profit by the abundant record now available of more or 
less successful attempts to deal with the problem. 

Plant Maintenance and Labor Stability 

Labor maintenance and plant maintenance are closely re- 
lated. In fact, as we shall see later, proper plant maintenance 
is a condition precedent to effective labor maintenance. But 
they are absolutely distinct as to methods of handling. Each 
should be managed separately. Each requires a different type 
of manager. One is a matter of physical conditions, of prac- 
tical adjustments; the other a problem of men and human 
nature, of psychological adjustments. 

The point should be emphasized that man-power should be 
treated as wisely, and with as careful planning, as the plant 
and its machinery. We would go further and say that the 
worker must receive much more attention, because he is a 
thinking, feeling being, a person of will and desires. In 
planning labor efficiency and stability the best thought in the 
management is required. 



12 LABOR MAINTENANCE 

Co-operation of Worker and Management Necessary 

The trend of the times points to the need of greater co- 
operation of management and men. The barriers created 
through mutual mistrust must be broken down. Industrial 
peace is impossible without respect and appreciation of each 
other's point of view. Managers must know their men, and 
men must know their managers. The conference table is the 
new scene of action. Employers can no longer refuse to deal 
with representatives of their workers. Employers cannot 
afford to let men nurse grievances. They must get at trouble 
before it starts ; in other words, they must remove the causes 
of friction. They can do this by extending a friendly hand 
to the workers and by obtaining their assistance in the solu- 
tion of common problems. 

Now that the war is over industry must adjust itself to 
a changed state of mind on the part of American Jabor. It 
is a matter of psychology which must be met by insight. The 
aspirations of the workingman must be understood if labor 
and capital are to co-operate. As J. MacKenzie King puts it, 
"Fear must be supplanted by Faith if the breach between the 
worker and the employer is not to be widened and class 
consciousness is not to develop to the point where open war- 
fare becomes inevitable." 2 

The worker has ideals. There are shades of difference 
but what the worker is striving for is finding expression in 
the programs of his various organizations here and abroad. 
The trend of these programs is toward more self-government 
in industry. Having long been denied a part in the administra- 
tion of industry, and forced to work oftentimes under adverse 
conditions, labor feels that the time has come when its voice 
must be heard. Complete industrial autonomy may be a re- 
mote possibility, but we are faced with the immediate problem 



2 "Industry and Humanity," Houghton, Mifflin Co., 1918. 



NEED FOR SERVICE WORK 13 

of how to secure and maintain the good-will of the worker, 
how to remove the sources of misunderstanding and friction 
between him and his employer, and how to reduce the wastes 
which destroy confidence in the present system of industrial 
management. This leads us to the subject of "welfare work'* 
as a means of promoting the good-will and stability of labor 
and to the consideration of why it has failed in this respect. 



CHAPTER II 

SERVICE WORK— THE RIGHT FOUNDATION 

"Welfare Work"— Its Failure 

The idea of work for the welfare of employees is not new, 
for experiments were made decades ago. "Welfare work" 
so called, began in England as an expression of the benevolent 
spirit of employers. The first comprehensive efforts of the 
sort were made by Robert Owen in his mills at New Lanark. 
Holyoake remarks in his admirable "History of Co-opera- 
tion" : 

It is Owen who first showed masters what they might 
with honor and profit do by voluntary partnership with those 
they employed. The law did not permit participation of 
profit with workmen in those days. It could only be done 
in the form of gifts. Only patronage co-operation was pos- 
sible. Mr. Owen made these in the form of education, 
recreation, improved dwellings, and increased wages. All 
these were revocable — the law forbade contracts of participa- 
tion with workmen. Industrial equity bore the name of 
benevolence and dividends of profit reached workmen in the 
form of a discriminating charity. 

Owen, however, w T as a paternalist and welfare work owes 
its failure to paternalism. 

Workers' Dislike of Being Patronized 

Since Owen's time there have been many well-intentioned 
plans for workers, but they have not met with the success 
expected. The failure of Pullman, Illinois, still lingers in 

14 



SERVICE WORK — THE RIGHT FOUNDATION 15 

memory as an exhibition of what a short-sighted labor policy 
may result in, however kindly the spirit in which the plan 
is launched. In other cases, by ignoring the wishes of the 
workers when providing for them, considerable losses have 
been incurred. A widely known textile company in Rhode 
Island spent $20,000 in providing a well-equipped clubhouse 
for its workers; but it met with little success. One of the 
largest corporations in this country spent over a million dollars 
in establishing "welfare" work — but this did not prevent a 
very serious and costly strike. 

Organized Labor Suspicious 

Organized labor has been particularly hostile to welfare 
work as ordinarily practiced. And why? It is not that the 
worker is unappreciative, but that he will not be patronized. 
He objects to having his initiative weakened or destroyed. 
Furthermore, he has had bitter experience with employers 
who have used welfare work as a club over him, who have 
conducted it for advertising purposes, or who have used it as 
a substitute for a fair, living wage. 

He has had experience with employers who boasted of 
their fine plan for sick benefits, when sanitary conditions in 
their plants were intolerable and the object of attack by the 
health authorities. He remembers employers who produced 
and distributed finely printed, expensive pamphlets describing 
the "welfare" work at their mines while they robbed the 
employee at the "company" store because no other store 
existed or was allowed to exist in the town. He cannot 
forget the employer's "model" town with its model houses 
from which he was evicted without a chance to find other 
shelter because a foreman "had it in for him" and he was 
discharged from the plant. He still meets friends who lost 
many an hour wearily waiting for frequent shortages of pay 
to be adjusted while the publicity representative of the com- 



16 LABOR MAINTENANCE 

pany was telling of the fine things being done for the workers' 
welfare. 



England — "Welfare Supervisors" 

Some recent developments in England illustrate very clearly 
the attitude of labor toward the sort of welfare work which 
it feels to be a means of exploitation, and indicate also what 
labor considers a fair basis for work of that character. 

England, like the United States, is waking up to the im- 
portance of the new science of employment management. 
Thus far the development has been mainly confined to the 
work of women "welfare supervisors" in plants for women 
workers. The English government has indorsed the idea of 
welfare supervisors as a means for increasing output. Many 
unionists have attacked this point of view. The betterment 
of industrial conditions, say the unions, should be directed 
toward "improved health, comfort, and development" for the 
workers as ends in themselves, rather than using the workers 
as tools for more production. The ideal of the "welfare 
supervisor" they claim, is "docile, obedient, and machine-like 
women workers." "The good welfare worker is the most 
dangerous" because she "destroys the independence of the 
workers and turns them from unionism. Her responsibility 
to the employer makes her a more efficient kind of slave- 
driver." She is inclined to interfere with the private, personal 
affairs of the workers. 

"Trade Union" Views 

Another view agrees that some supervisors will effect good 
results in safeguarding and improving the girls' working lives ; 
but they fear that others will come into the work with peculiar 
notions of "discipline," firmly convinced "till experience 
teaches them better, that trade unionism is of the devil." 



SERVICE WORK — THE RIGHT FOUNDATION *7 

An unusually clear statement is found in the memorandum 
prepared by the Joint Committee of the Woolwich Trades 
and Labour Council, and the Woolwich Labour Party. This 
paper states that: 

The following conditions are essential to any scheme of 
welfare supervision that is to win the full confidence and 
support of the workers: 

1. Welfare supervision must aim primarily at promoting 
the welfare of the workers, and not at increasing the 
workers' output. 

2. In the interest of welfare supervision and of the 
workers, duties which conflict with welfare supervision must 
not be included in the works of welfare supervisors. 

3. Welfare schemes and supervisors must be under a 
democratic system of control in which the workers shall 
have equal participation with the employers. 

4. The established field of operations of trade unions 
and their officials must be clearly and loyally recognized by 
welfare schemes and supervisors. 

5. Welfare supervisors should be drawn, as far as pos- 
sible, from among the workers. 

6. Welfare supervisors should not be appointed without 
preliminary training or experience, such training to include 
a knowledge of trade union aims and methods. 

7. The remuneration and hours of all assistants in welfare 
supervision work (e.g., canteen workers) must be of a trade 
union standard. 

8. If government control of welfare supervision is main- 
tained after the war, such control must be transferred from 
the Ministry of Munitions to the Ministry of Labour. 

We submit further that: 

9. There should be the maximum of efficient co-operation 
among local welfare schemes, especially with regard to small 
factories. 

10. There should be the maximum of efficient co-operation 
between local welfare schemes and the municipality, es- 
pecially with regard to health, housing, transit, and recrea- 
tion. 

11. As welfare supervision will probably become a 



1 8 LABOR MAINTENANCE 

permanent and extending element of the industrial system, 
there should be held in each industrial center, one or more 
conferences, convened by the Trade Council, or, where there 
is also a local labour party, both bodies jointly, for the 
purpose of considering the aims, scope, and methods of wel- 
fare supervision ; and that such local conferences should be 
followed by a joint conference of the Trade Union Congress 
and the National Labour Party. 

In short, labor does not want the worker bound to his 
employer by any scheme no matter how great its benefits. 
The worker wants his independence and that cannot be bought 
at any price. Labor wants no "benevolent feudalism." 

On the other hand, to quote the words of Bolen in "Getting 
a Living," the statement cited above shows also that: 

The staunchest unionists are not so unreasonable as to be 
hostile to the welfare institutions of the employer who asks 
no surrender of manly right, nor attempts to reimburse 
himself from wages and who, not posing as a philanthropist 
nor expecting gratitude, treats his men well because it is the 
only right way — a way equally as profitable to himself as to 
them or to society. There need be no trouble here if the 
employer's designs are those of straightforward business. 

In her recent book on the subject, Miss E. Dorothea Proud 
defines welfare work to consist "of voluntary efforts on the 
part of employers to improve, within the existing industrial 
system, the conditions of employment in their own factories." 
She excludes profit-sharing and co-partnership from this 
definition. George M. Price in "The Modern Factory," de- 
fines welfare work as "all devices, appliances, activities, and 
institutions voluntarily created and maintained by employers 
for the purpose of improving the economic, physical, intel- 
lectual, or social conditions of the workers in their industrial 
establishments." With such a conception of "welfare work" 
organized labor has no quarrel. 



SERVICE WORK — THE RIGHT FOUNDATION 19 

A Better Name — "Service Work" 

But for such activities as these the term "welfare work" 
is not suitable. That term will always be associated with 
paternalism and its abuses. The Secretary of the National 
Federation of Women Workers in England, states that the 
term "welfare" is the most unpopular word in the terminology 
of the factory worker. Various terms have been suggested 
to take its place. Some persons have suggested the term 
"industrial betterment work," or "mutual betterment work." 
These terms have their merits, but there is another even more 
suitable, that of "service work." 

Industry has gone through marked changes since the time 
of Owen. We are reaching the stage when all phases of 
industrial enterprise will be measured in terms of service — 
service to the worker, to the consumer, to the public, and to 
society. This does not mean change in the inherent structure 
of industry but it does mean a changed point of view and 
method in industrial administration. The ideal is to make 
labor a constant factor in administration and operation rather 
than a wasteful variable. The method is, through industrial 
service activities, to give the subject of labor maintenance the 
same thoughtful consideration and action that the other large 
branches of administration are receiving. 

Aims and Ideals 

The best organized plant in the future will be the one 
which has a well-developed department of labor maintenance 
or service, conducted by a specially qualified executive. If 
the plant is large enough, it will have a manager of industrial 
relations who will guide the employment department and the 
service department, and supervise safety work, health work, 
educational and industrial training work, and all other activi- 
ties concerned with the maintenance of labor at its maximum 
efficiency and satisfaction. Service work then will follow a 



20 LABOR MAINTENANCE 

constructive course. Its results will be measured not only in 
dollars and cents but in terms of good- will and industrial 
peace. 

New Conception of Employment 

With the growth of new ideals in labor management has 
come a new interpretation of the term "employment." It 
no longer means simply signing up anyone who looks good 
for a job and firing him at will. Employment involves a 
new responsibility on the part of management — a responsibility 
which extends beyond the employment office. It means careful 
consideration of the conditions under which the worker is 
placed, to eliminate the drags on his efficiency, to study closely 
his desires and aspirations, to appreciate his personal problems, 
and to scrutinize still more closely the cause of the dissatis- 
faction that separates him from his job. 

Successful labor maintenance is not merely a matter of 
"installing" service features in a plant; it is more a matter 
of utilizing all the possibilities for right co-operation latent 
in the men and women engaged in the establishment, combined 
with sympathetic understanding and treatment on the part of 
the management. The element of mutuality must always be 
present. There must be a partnership of spirit that is whole- 
hearted on both sides. The days of "hiring and firing" are 
over. This is the time for hiring and inspiring. 

Service Work and Industrial Justice 

Properly administered, service work promotes self-respect, 
develops the workers' initiative, and encourages democratic 
effort and co-operation. It removes many causes of friction 
by clearing up petty but not unimportant misunderstandings. 
It directs the energies of workers along avenues of whole- 
some growth, thereby making employment a common enter- 
prise rather than a case of master and servant. It increases 



SERVICE WORK — THE RIGHT FOUNDATION 21 

the workers' personal and industrial efficiency by intelligent 
assistance to them in their problems. It makes up in a measure 
the personal contacts between employer and employee lost 
through big organization. No charity or philanthropy is in- 
volved. It is a matter of good business as well as a matter 
of "industrial justice," as some express it. It is an investment 
in good-will, an upbuilder of morale. 

Service Work Good Business 

Why it is good business is obvious. The worker who 
is fit and satisfied produces more, and the quality of what 
he produces is better. If proper medical attention is provided 
at the plant for minor ailments it eliminates the loss of time 
and of production involved in going outside for treatment. 
If proper food is provided at the plant at reasonable cost, the 
worker is better able to sustain his energies and is better 
fitted for the work in hand than when he is left to eat a 
cold lunch, often without nutritious value. If the worker is 
assured of continuous employment and is assisted in providing 
for emergencies of sickness, old age, or death, a great load of 
worry is removed and he may apply himself to his work with 
the zeal of an enthusiast. If the monotony of highly sub- 
divided industrial operation is mitigated, reduction in the turn- 
over of labor takes place. 

Service work builds man-power and gives it that staying 
quality, that permanency, which means maximum effort and 
minimum loss. In other words, it promotes stability. 

A Constructive Force — Brings Co-operation 

Talking in terms of human values, service work acts as 
a safety valve for feelings and emotions which seek, and 
must have expression. Guided constructively, a wonderful 
power for good may be developed. The success and happiness 
of a person lie in having wholesome interest in and outside 



22 LABOR MAINTENANCE 

of vocation. Man cannot express himself in work when that 
work is often of deadly monotony. He must have self-expres- 
sion in some social, communal manner; for man is a social 
animal. Some are more social than others and possess quali- 
ties of leadership which, recognized and rightly developed, 
mean industrial peace and the accession to industry of com- 
petent, promising executive material. 

The right kind of service work builds co-operation 'of 
management and worker. Rather than dictate what activities 
there shall be for the workers, the wise manager consults his 
men and gets from them a frank opinion of the desirability 
of proposed activities. He may make suggestions which will 
help them form their opinion, and if they disagree he may 
try to convince them of his point of view. But he should 
never go ahead with an important plan simply because he 
thinks the workers ought to have it, unless it is something 
which is aimed to bring the physical conditions of the» plant 
up to standard. 

No service work is worthy of the name if it does not 
encourage self-directed activities. The more activities of this 
kind there are, the slighter the danger of friction and dissatis- 
faction. These may be a mutual benefit association, a co- 
operative plan for the purchase of the necessities of life, a 
savings club, or some other useful enterprise. Worked out 
in this way, the employees would be glad to avail themselves 
of the wise counsel and assistance of the experienced employer. 

Conditions of Work Must Be Good 

Let us now turn to the fundamental principles. Full 
recognition must be given to the fact that proper working 
conditions are the basis of successful labor management and 
maintenance. Industrial success requires certain standards. 
These include proper sanitary arrangements, conditions of 
heat, light, ventilation, safety, and health. When these are 



SERVICE WORK — THE RIGHT FOUNDATION 23 

not met, legislation seeks to enforce a minimum. If legislation 
is difficult to obtain, or if it seems more expedient to the men, 
resort will be had to economic pressure to bring about desired 
reform. Intelligent service work goes beyond this minimum 
and often sets a standard much higher than the law demands ; 
or it even anticipates legislation, as several large corporations 
have done. 

No service work is of value if it does not rest upon sound 
work conditions. We cannot expect a man to be satisfied 
with his job or give best productive results if he has to use 
an unsanitary toilet; or if toilet facilities are inadequate; 
or if the ventilation of the shop is poor and he is poisoned by 
dangerous gases; or the shop is underheated as a result of 
his efforts to get good air; or if the workroom is overheated 
and the worker's brain is dulled; or if the occupation is 
hazardous, and inadequate safeguards are provided. 

The matter is clearly put by D. H. MacGregor in his 
"Evolution of Industry": 

Much of what is now called "social betterment" or 
"model employment" implies rather the removal of unfavor- 
able conditions through the gift of specially favorable con- 
ditions. The mere fact that such schemes attracted great 
public attention in the beginning of the twentieth century 
is a serious reflection upon existing standards, and is to be 
read in the light of the criticism of fifty years hence no less 
than in the spirit of sympathy with its purposes at present. 

Wages Must Be Fair 

A study of labor turnover statistics indicates the fact that 
the largest number of voluntary resignations of workers is 
due to dissatisfaction with wages. This is true even in 
concerns which have excellently organized service work, and 
which are known for their fair treatment. The high cost 
of living and the usual burden of financial obligations borne 
by the industrial worker make it imperative for him to seek 



24 LABOR MAINTENANCE 

and obtain the highest pay for his labor. And that pay must 
be sufficient to support him and his family in reasonable com- 
fort, supply them with the education and recreation necessary 
for all, keep them in good health, and help safeguard them 
against want should anything prevent the wage-earner from 
continuing his work. 

The wage question cannot be ignored in considering how 
labor may be stabilized. A fair wage is the starting point 
of service work; it is the keystone of a sound industrial struc- 
ture. Many an employer's effort to improve his workers' 
condition has met with bitter disappointment through failure 
to observe this fundamental truth. William Howard Taft 
said recently: 

Too many employers seek to justify failure to raise 
wages by pointing to their welfare work for their employees. 
This is of a paternal character and impresses the workers 
with the idea that they are being looked after as wards and 
not treated as men capable of exercising independent dis- 
cretion as to their welfare. They are apt to give the 
employees the idea that it is a generous concession they 
are making out of the goodness of their hearts and that 
they are not merely yielding a right for a quid pro quo 
for what they receive. 1 

Properly Co-ordinated Effort 

Granted that a fair wage prevails, other elements which 
make for stability of labor still remain. We have spoken of 
sound working conditions, intelligent handling of men — which 
means fair treatment — appreciation of the point of view of 
the worker, absence of paternalism, encouragement of initiative, 
self-directed social activities, and development of co-operative 
activity between employer and employee. We have spoken, 
too, of careful study of the entire problem of labor main- 
tenance by a functionalized department and the formulation 



Washington Post, November 26, 1918, page 3. 



SERVICE WORK THE RIGHT FOUNDATION 25 

of a definite, basic policy to be modified from time to time 
according to circumstances. Properly organized service work 
co-ordinates all efforts of workers and employer in a common 
program. Properly organized service work allows no hap- 
hazard planning; it imbues every activity with a well-defined, 
carefully planned common purpose; it brings out the best in 
the individual and makes group action constructive. 

Such are the elements of the new conception of labor 
maintenance. How this conception may be made concrete, 
how a sound practice may be developed, this book endeavors 
to illustrate. 



CHAPTER III 

THE EMPLOYEES' SERVICE DEPARTMENT— ITS 
RELATION TO OTHER DEPARTMENTS 

Proper Name for the Department 

We have seen in the last chapter the defects in what is 
familiarly known as "welfare work" and what are the ideals 
of the newer "service work." To carry out those ideals is 
the particular duty of what might be called the "employees' 
service department." 

The matter of name, indeed, may well be considered for 
a moment. Those who developed the special War Emergency 
Training Course in Employment Management at the Univer- 
sity of Rochester, New York, made a careful survey of firms 
throughout the country, such survey showing that "service" or 
"service and employment" department were the only titles at 
all widely used instead of "employment department." 

The following memorandum on the subject, prepared by 
the training school and representing many viewpoints, may 
here be quoted: 

The joint committee establishing the Training Courses in 
Employment Management after investigation and considera- 
tion of some 14 names and titles, unanimously voted to use 
the words "service department" in connection with employ- 
ment management, and the following points were made: 

The establishment of industrial service departments in 
the shipping board and ordnance departments having in mind 
the same broad functions intended to be covered by employ- 
ment management was a strong reason for use of the title 
"service department" in particular industries. 

"Service" is a word of large significance and meaning to 

26 



employees' service department 27 

general managers because of its acknowledged importance in 
connection with sales. The use of the words thus in connec- 
tion with factory and employees would tend to enhance the 
standing and importance of such a department and to give it 
large scope. 

"Service" is the best word for approach to employees. 
It implies that it exists as a matter of right and obligation. 
It is free from any taint of philanthropy or paternalism. 

The use of the word "service" makes it easy to substitute 
the words "service" and "personal service" for the word 
"welfare" which latter word is held undesirable and objec- 
tionable. "Personal service" work is about the only good 
suggestion of a title offered to take the place of "welfare" 
work. 

The word "employment" conveys too limited a conception 
of the scope and activities desired. It tends to narrow the 
work to hiring only. 

The word "service" suggests a broad field and can easily 
cover the broadest conception of the work. 

The word "service" gives to the man in charge the right 
viewpoint and approach in all details of his work. 

"Service" has been accepted by the leaders in American 
business administration as a fundamental idea essential to 
success in business. The root conception of success in 
leadership or administration is that the executive serves 
others. This significance attaching to the word "service" 
gives to the word the power of winning the minds of men 
of large affairs and suggesting that the department bearing 
this title, and the movement designated by it is a matter of 
large import and much above any mere process of "hiring 
and firing." 

The word conveys the idea of ministry and belongs to 
a high conception of management in its relation to labor 
and of the functions of a staff intermediating between the 
two. 

It is suggested that the word may be introduced naturally 
by degrees. 

1. Employment department (usually limited in scope). 

2. Employment and service department. 

3. Service and employment department. 



28 LABOR MAINTENANCE 

4. Service department, or 

5. If desired in combinations, such as "industrial 

service," "factory service," etc. 

Many objections have been offered to other titles but to 
the word "service department" only one, namely, that in 
some industries (automobile particularly) there are service 
departments dealing with sales and customers. This, how- 
ever, constitutes no valid objection because one deals with 
the outside and the other with' the inside. The one could 
easily be designated as "sales service" and would not be 
confused. In fact, "service" departments as contemplated 
exist already in the automobile industry. 

The objection instanced in the last paragraph may be 
avoided by adopting the term used in the title of the present 
chapter, 'The Employees' Service Department." 

Service Department Includes Employment 

As to one important point we may note that the memoran- 
dum is not so clear as it should be — namely, that what is 
called the service department should include the functions of 
the employment department. Such is the practice in several 
concerns — particularly the Bethlehem Shipbuilding Corpora- 
tion. A similar scheme is that of the Hood Rubber Company, 
Watertown, Massachusetts, a chart of which is here repro- 
duced. (See Figure I.) 

One Plan — Executive Board 

An interesting form of organization of service activities 
is that of L. Candee and Company, New Haven, Connecticut, 
manufacturers of rubber goods. This arrangement provides 
for committees for all important plant activities, including a 
foremen's co-operative association which meets weekly to dis- 
cuss methods of co-operation and plant improvement. An 
advisory board, made up of executives including the general 



EMPLOYEES' service department 



29 



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30 LABOR MAINTENANCE 

superintendent who presides at meetings, heads the structure, 
This board meets weekly and considers all problems. An 
executive board, consisting of the officers of each committee, 
and headed by the employment manager, acts as a clearing- 
house for all service activities. This board meets once a month 
and makes recommendations which are passed upon by the 
advisory board, and if approved, are then handled by the em- 
ployment manager in connection with the proper committee. 

Some of the committees have functions which call for 
special notice. The restaurant committee is made up of 
women representatives of the various departments. It meets 
once a month or more often if necessary, and acts upon com- 
plaints, suggestions, rules, policies of management, and other 
matters related to the work. Each member of the committee 
wears a special pin. 

The publicity and promotion committee handles all pub- 
licity in the way of education, pictures, promotion of activities, 
and municipal development. The head of this committee was 
made a member of the local chamber of commerce by the 
company so that he and the committee could keep in close 
contact with the affairs of the community. 

A glance at the chart of the organization (Figure 2) will 
show the relation of the committees to each other. One point 
worth noting is that each committee has its own secretary 
who keeps careful record of things discussed and accomplished. 
Copies of the minutes of meetings are sent to the employment 
manager who heads the executive board. 

Employment and Service Department 

In a small concern it is better to have an "employment 
and service" department which divides its functions of employ- 
ment and employees' service into separate co-ordinate groups 
operating under one general head, than to use the term "service 
department" to cover these groups. 



EMPLOYEES SERVICE DEPARTMENT 



31 



Many small plants have their service head and employment 
head report separately to the superintendent but this practice, 
in the opinion of the author, is wasteful ; it hinders co-ordina- 
tion. The work of employment and that of service are so 
closely related that neither can function to best advantage by 
itself. There must be one executive who co-ordinates these 



foremen's 
Meetings 



ADVISORY BOARD 
Executives 



Exec utive B oard 

Employment Manager 

CommitteeTeam Officers 



Foremen's 

Co-operative 

Ass'n 



Health 
Depart- 
ment 



Restaurant 
Committee 



American- 

isation 
Committee 



Labor-s aving C ommittee 
Overseers 



Entertain- 
ment 
Committee 



Conserva- 
tion 
Committee 



Publicity and 
Promotion 
Committee 



Police 
Committee 



Can dee 
Observer 



Education 

of 

Arts 



fire t 

Protective 

Ass'n. 



Figure 2. Organization Chart of Service Activities 

Showing the relations of the various committees to each other. (Form of organization of 
L. Candee and Company.) 

two branches of activity and relates them properly to the 
management. 

The best plan of organization provides for one person 
in charge of both employment and service, assisted by a cap- 
able executive who handles employment and another who 
directs service. 



Plimpton Press Plan 

At the Plimpton Press, Norwood, Massachusetts, there is 
a personnel department which has five divisions called : 



3 2 LABOR MAINTENANCE 

i. Employment 

2. Maintenance 

3. Training 

4. Research 

5. Community relations 

The plan of organization can readily be seen by consulting 
Figure 3. The maintenance division corresponds to what is 
called the employees' service department in this volume. Em- 
ployment work and service work are concomitant activities 
and, while closely connected in purpose, should be distinguished 
in name at least. 

Terminology 

If activities are described in general terms, standards to 
be uniformly observed cannot be established without difficulty; 
and accordingly progress will be retarded. As in other new 
fields of endeavor, terms must be made specific to the greatest 
degree possible. The profession of employment management 
has not yet developed a terminology that is in general use 
and the lack of a satisfactory terminology is making for 
confusion. Some use the term "service" to cover all per- 
sonnel and employment work, while others use it in a limited 
sense to mean a special phase of personnel activity. It is in 
the latter sense that the term is used in this book. 

What "Employment" Should Imply 

The term "employment" as used in connection with a 
department should imply the entire technique of hiring, rating, 
assignment, transfer, promotion, resignation, and discharge 
of employees. It should involve study and adjustment of wage 
rates, records of service, development of sources of labor 
supply, work with foremen, leading men, and other employing 
executives. It should distinctly involve close connection with 



EMPLOYEES SERVICE DEPARTMENT 



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34 LABOR MAINTENANCE 

the discussion and settlement of policies governing the employ- 
ment of labor. It means study and consideration of all ele- 
ments involved in the contract of employment, including the 
cost of living, labor legislation, and judicial decisions. 

What "Service" Should Imply 

The term "service" was explained in the previous chapter 
but it will help again to emphasize its connotation. The em- 
ployees' service department should concern itself with all 
matters affecting the general welfare of employees in so far 
as those matters have connection with stabilizing the labor 
employed and making it more efficient. 

What the Department Should Be 

Such a department should act as a clearing-house for in- 
formation as to employee activities. It should consider 
measures affecting the personnel of the entire organization 
and opportunities for educational and industrial advancement 
of workers. Its activities should include work for safety, 
health, and proper sanitation, education and training of em- 
ployees. The department should encourage self-directed social 
activities among the workers and tactfully should subordinate 
itself to such activities. In fact the success of the employees' 
service department may fairly be judged by the number of 
self-conducted employee activities in the concern. Finally, 
the employees' service department should co-operate with the 
employment department in acting as a friend and counselor to 
the workers. Thus the service department will reflect the 
spirit of the concern. It will also help the workers to find 
self-expression fully and legitimately, and most important of 
all, it will go toward insuring that co-operation between man- 
agement and men without which no industrial enterprise may 
succeed in the future. 



employees' service department 35 

In Large Concerns — Department of Industrial Relations 

In concerns of sufficient size the modern tendency seems 
to be directed towards the creation of a general department 
of industrial relations under which there are separate divisions 
or sections devoted to employment, service, safety, health, 
education and training, and other activities. This is the 
arrangement adopted by the B. F. Goodrich Rubber Company, 
the Bethlehem Shipbuilding Corporation, the American Inter- 
national Shipbuilding Corporation, the Youngstown Sheet 
Tube Company, the Merchant Shipbuilding Corporation, the 
International Harvester Company, and others. 

At the International Harvester Company there is an indus- 
trial relations department which has its center in the general 
office. The activities of the department include employment 
and labor, safety, casualty settlement, women's work, medical 
and sanitation work, and other activities which are related. 
The manager of industrial relations reports to the manager 
of manufacturing. The employment managers at branch 
plants report to the plant superintendent, and indirectly to the 
manager of industrial relations. 

The head of the industrial relations department should be 
an executive who ranks equally with the head of the most 
important departments, such recognition involving standing, 
authority, salary, active participation in the shaping of labor 
policies, and in the adjustment of differences between the 
company and its workers. Otherwise it will be difficult to 
bring about the necessary co-operation of superintendents and 
foremen who are unfamiliar with or unsympathetic to the new 
ideas of industrial management. 

So important is this function becoming that large concerns 
like the Bethlehem Steel Corporation are assigning the duties 
of this job to men who report directly to the president of the 
concern. They are generally given the title of "Assistant to 
the President." 



36 LABOR MAINTENANCE 

Sometimes Called "Labor Department" 

At the Goodyear Tire and Rubber Company, where about 
25,000 are employed, the department is called the "labor 
department" and, according to the management, is "a means 
employed to keep the factory manager in touch with the work- 
men in the factory. It aims to see that all workmen get a 
square deal, and to provide an opportunity for a fair hearing 
for everyone. It also aims to keep in touch with the general 
labor situation in the factory, in order to foresee and prevent 
unrest and discontentment and to feel the pulse of the labor 
situation generally, in Akron and throughout the country." 

The functions of the labor department cover: 

1. General supervision of working conditions 

2. Employment, discharge, and transfer 

3. Labor adjustments 

4. Legal counsel 

5. Plant police 

6. Fire department 

7. Accident prevention 

8. Accident compensation 

9. Factory mail 

10. Insurance plan 

11. Health supervision 

12. Emergency hospitals 

13. Factory library 

14. Factory newspaper 

15. Educational work 

16. Alien 'division 

17. Restaurant service 

18. Retirement awards 

19. Suggestion system 

20. Housing supervision and financial supervision 

21. Bureau of athletics 



employees' service department 37 

All these functions extend to the subsidiary plants of the 
company. "There is no welfare department/' says the com- 
pany. "All activities are on a businesslike, self-supporting 
basis. The principles followed are to help those who help 
themselves and to attract men of judgment to become asso- 
ciated with the company." 

Sometimes — "Personnel Department" 

At the Thomas A. Edison plant at Orange, New Jersey, 
what is known as the "personnel service department'' is a 
department of the administrative service division. The per- 
sonnel department reports to the chairman of the board of 
directors. The principal functions of this department are five: 

i. Employment 

2. Adjustment 

3. Betterment 

4. Safety 

5. Health 

The "betterment" section deals with personnel insurance, 
plant newspaper, a suggestion system, and other service fea- 
tures. 

Under Whom Shall the Department Function? 

In organizing an employees' service department or division 
the question generally arises: To whom should the head of 
the department report? In a small plant it is best to have the 
head of the service work report to the employment chief who 
in turn is responsible to the general manager or superintendent. 
Another good plan is to have the person in charge of the 
employment and service department report directly to the vice- 
president or other head of the concern who can devote the 
greater portion of his time to employee relations. 



38 



LABOR MAINTENANCE 



General Manager 

At any rate, in order that the head of the employment 
and service department may have the necessary authority his 
department should function under the official who is superior 
to all departments, that is, someone very close to the highest 
active executive, if not the highest executive himself. Figure 
4 represents the modern idea of relationship. 























General Manager 
























1 










1 






Distribution 
Manager 




Employment and Service 
Manager 




Works Manager 








1 




. 1 














l 








J Emplo\ 


Head 
/ment Division 




Head 
Employees' 5ervi« 


Division 























Figure 4. Chart Showing the Relation of Employment and Service Manager 
to Other Administrators 

In order to carry on the work of the service department successfully, the recognized standing 
of the employment and service manager should be equal to that of other department 

executives. 



Works Manager 

Some argue that the works manager should supervise the 
work of the employees' service department head, but in the 
author's opinion this is wrong in principle. The works man- 
ager should in all cases be kept in close touch with the work 
of the employees' service department but the general manager 
should be the one to set policies and see that they are carried 
out. The works manager should be left free to devote his 
energies to production. An exception to this now current 
in industrial practice appears in the safety work (and in some 



employees' service department 



39 



instances, trade training work) of the plant. Considering the 
works manager as one engaged in supervision of production 























Industn'al Relations Chief 








































Employment 




Safety first 




Medical 




Employees' 
Service 























Figure 5. Departmental Classification of Industrial Relations Activities in 
a Large Establishment 

and thus the operating head, some concerns have the safety 
superior or training superior directly responsible to the works 



















President of the Company 


















1 Chief of Industrial Relations Department! 

1 






J Director of Employees Service Department 






1 








1 












I Educational 1 
1 


| Personal Welfare | 














Factory 
Schools 


Suggestion ' 
System 


1 

) 


Free Leaal Aid 


Housinq 




Alien Aid 


Mutual Benefits: 
Sickness Insurance 
Life Insurance 
Pensions 


Plant 
Paper 
Bulletins 

Posters 


Fcl!cw-up 
for Promotions 


Recreation 
and 
Amusements 


Personal 
Consultations 


General Working 
Conditions 


Domestic Relations 
Co-operative Buying 
Family Welfare 
Baby Welfare 
Visiting Nurses- 
Home Hygiene 
Promotidrrof Thrift 

and Savings 
Home Gardens 


tf~z cyees' 
Library 


Shop 
Talks 


Co-operation with 
oufside Social 
and Civic Aqencies 


Movies 








• 


Aiding in 
Patriotic 
Activities 

















Figure 6. Chart of the Functions of the Employee's Service Department in 
a Large Establishment 

Health and safety activities are not included, as this work is assigned to separate depart- 
ments. 



40 



LABOR MAINTENANCE 



manager so far as operation is concerned, but policies are con- 
trolled by the general manager. This, perhaps, may be the 
more practical method under present conditions or until in- 
dustrial managers can "sell" the new idea to their assistants. 



Industry 



Automobiles 

Boots and shoes. . . 

Chemicals and allied 
products , 

Clothing and fur 
nishings 

Electrical supplies. 

Explosives 

Fine machines and 
instruments 

Food products . . . 

Foundries and ma- 
chine shops. . 

Gas and electric light 
and power. .... 

Iron and steel... , 

Mining, coal 

Mining, other than 
coal , 

Offices 

Paper and paper 
goods 

Printing and pub 
lishing 

Railroads, electric. . 

Railroads, steam. . . 

Rubber and compo 
sition goods 

Stores 

Telegraph and tele- 
phone 

Textiles 

Other industries. . . 



Total. 



Number 

of 
Estab- 
lish- 
ments 



13 
5 
5 

8 
IS 

49 

10 

3 40 

12 

12 
9 



IO 
17 
IO 

9 
47 

3 15 
60 

57 



Number 

of 

Employees 



95,683 
23,930 

13,539 

19,498 
51,040 
36,030 

25,326 

1 17,638 

143.882 

2 27,102 

213,143 
34.807 

25,448 
13,814 

9,174 

12,769 

60,642 

393,583 

42,847 
125,148 

1 66,447 

71,221 

1 138,793 



431 I* 1,661,504 



Welfare 
Work Ad- 
ministered 
by 



CD o 

n 

W 



231 



Establish- 
ments 
Having 



<! a) 






154 



Establishments Report- 
ing as to Effect of 
Welfare Work upon 



Time 
Lost 



ftfl 



141 



160 



29 



Stability of 
Force 






136 



3S 



1 Not including 1 establishment, not reported. 

2 Not including 2 establishments, not reported. 

3 Individual plants of 1 corporation have been counted as separate establishments. 
* Not including 5 establishments, not reported. 



Figure 7. 



Table Showing Effect of Service Work as Administered in 431 
Concerns 



employees' service department 4 1 

Industrial Relations Manager 

In very large concerns, like those previously described in 
this chapter, where a department of industrial relations is 
created, the employees' service division or section will report 
directly to the industrial relations manager. Figures 5 and 6, 
prepared by Ernest C. Gould, describe the form of organiza- 
tion generally adopted. It will be noticed that the functions 
of safety and health are not included in the employees' service 
division but have their own head who reports directly to the 
industrial relations chief. This is the plan which must neces- 
sarily exist in a large concern. 

An interesting table (Figure 7) has been prepared by the 
United States Department of Labor showing how service work 
is administered in 431 concerns surveyed; also showing the 
effect of service activities upon time lost and the stability of 
the working force. 



CHAPTER IV 

INTERNAL ORGANIZATION OF THE SERVICE 
DEPARTMENT 

Size of the Department 

The size of the department will depend upon the funds 
available for service work, the number employed, and the 
extent of activities planned, as well as the physical space 
available for the department's use. Here a word of caution 
is necessary. Too often the mistake is made of starting service 
work with a splurge and attempting to encompass every pos- 
sible activity with little thought of the difficulties involved. 
Service work is sometimes overdone in the heat of enthusiasm 
of a new executive who wants to make a "showing." So 
many new activities are started at once that the worker soon 
finds himself in the position of an observer at a three-ring 
circus; he cannot concentrate his attention on any one thing. 
Soon the novelty of the new stunts wears off, his enthusiasm 
wanes and no distinct impression has been made. 

Service work should begin in a small way and with a 
small staff of paid workers whose duty is merely that of 
nominal supervision. The real responsibility for initiation and 
management of service activities should be placed upon the 
plant workers. The more the workers themselves can be 
induced to take part the lower will be the costs of administra- 
tion and the more satisfactory will be the results. 

Office Organization — System 

One thing which the central authority can contribute is 
orderly operation of the department activities, however 

42 



SERVICE DEPARTMENT ORGANIZATION 43 

initiated. The conduct of the office should be as systematic 
and efficient as in any well-regulated business office. Every- 
thing should be kept neat and clean. All desks should be kept 
clear of finished matter, which should be filed or despatched 
to the proper person. The tendency is to be careless and allow 
old papers, magazines, and newspapers to litter up the desks. 
It should be an inflexible rule that every desk in the office 
must be cleared off before the workday is over and all mail 
of that day answered unless further action on it is necessary. 
Suitable desk trays should be provided for papers according 
to their classification. No papers of an official nature should 
be allowed to leave the office. If papers must be taken out, 
a memorandum signed by the person who receives them and 
stating the character of the paper and date when removed, 
should be placed in the appropriate place in the file. Ob- 
servance of this suggestion will prevent the loss of papers and 
lessen the time-wasting effort to locate them. 

Each paper that comes into the office should be dated and, 
if possible, stamped with the time of its arrival. All outgoing 
correspondence should be signed by the head of the depart- 
ment except in special cases. This will avoid the confusion 
incident to persons in the office conducting correspondence 
involving the business of the department without knowledge 
of the managing authority. 

Filing and Record 

All papers should be filed by subjects. Important cor- 
respondence should be alphabetically filed with cross-filed 
reference by subject. For example : All reports and plans 
on housing should be 'filed under that head; but should an 
important letter come in regarding these plans or reports or 
otherwise have close connection with the subject, that letter 
would be filed according to the name of the writer or corpora- 
tion — let us say the Universal Construction Company — and 



44 LABOR MAINTENANCE 

a special sheet would be made out referring to this corre- 
spondence as follows, this sheet to be filed under "Housing": 



Date: , 

From: Universal Construction Company 

Subject: Housing 

Note: New plans and estimates will be ready by, 



An excellent method for keeping record of daily events 
and achievements is the daily diary. Such a diary makes it 
easy to give reports of the department for stated periods. 

A complete list of the personnel of the department should 
be kept in the office of the head of the department. This 
list should note the particular job of each individual and in a 
sentence or two describe the function performed by him. 

The Executive Always Accessible 

The office of the executive head should always be open 
to everyone. A certain amount of privacy here is necessary 
but the danger of closeting oneself in a sanctum sanctorum 
should be avoided. The workmen should feel that they can 
reach the head of the service department at any time and 
for this reason it will be well for the head to set aside definite 
office hours for meeting workers. Too much time and 
patience are lost when a man leaves his job to see the service 
head and finding him out has to return at some other time. 
It would be well for the head to take his lunch at an hour 
different from the regular lunch hour of the concern in order 
to enable workers to see him without loss of their time and 
that of the company. 

Conferences 

At frequent intervals, preferably weekly, the head of the 
department should hold conferences of his assistants and other 



SERVICE DEPARTMENT ORGANIZATION 45 

important members of the personnel on problems and matters 
affecting their work. The subjects for discussion should be 
carefully prepared beforehand and due notice given to those 
participating. The advantages of the conference idea are so 
great that to neglect this simple method of bringing all minds 
in the department together to discuss and agree upon a com- 
mon purpose and method is to fail as an executive. Con- 
ferences help to make workers think about their jobs, they 
clarify matters of policy, stimulate enthusiasm, and develop 
efficient methods of work. They save the time it would take 
the executive to explain the same thing to each member of 
his staff personally, and promote co-ordination and teamwork 
among department workers. 

Special Studies and Reports 

In addition to conferences the employees' service depart- 
ment should plan for special studies and reports by members 
of the staff. Such subjects might include housing, transporta- 
tion, naturalization, safety, sources of friction, opportunities 
for education and trade training, and others of similar nature. 

It should be the duty of every service department to pre- 
pare a monthly report of its activity, summarizing events and 
plans under appropriate headings so that an executive can, at 
a glance, know what the department is doing. Such reports 
should be simple, concise statements of fact. Managers are 
impatient with the flowery, emotional outbursts which some- 
times come to them. A good form of report would be the 
following : 

Report for (date) 

I. Summary of Activity 

A. Health 

B. Safety 

C. Educational 



4 6 LABOR MAINTENANCE 

D. Social 

E. Special 

II. Summary of Problems 
(Enumerated) 

III. Suggestions and Recommendations (Enumerated) 

Copies of these reports should be sent to the general 
manager, the works manager or superintendent, the employ- 
ment manager, and such other officials as the general manager 
may designate. Two copies should remain on file in the office. 

Keeping in Touch with Other Concerns 

One of the first steps of the department should be to send 
a request to as many concerns as possible to be placed on 
their mailing lists for copies of their employees' newspaper 
or magazine. Many valuable suggestions may be obtained in 
this way. Often the management will hesitate in undertaking 
a particular activity for fear it will not work but if it is seen 
that the idea has been tried and has succeeded, the experiment 
will often be made. A service superintendent should not, 
however, fall into the common error of believing that because 
a plan worked well elsewhere it will work with his plant where 
conditions may be entirely different and preclude the possibility 
of success. On the other hand, it is even more dangerous 
to assume an attitude of hidebound conservatism. There is 
a happy mean based upon the use of common sense and knowl- 
edge of the workers' desires. 

Planning Activities 

Often the company executives' conception of the em- 
ployees' service department is that it is a dumping ground for 
matters which concern no other department directly, or that 
it is little more than an entertainment bureau. This is owing 
to a lack of understanding of the principles involved in service 



SERVICE DEPARTMENT ORGANIZATION 47 

work both by the management and by those in charge of service 
work. No change may be expected in this point of view 
until a well-defined program is developed and its purposes 
appreciated by all concerned. 

The department should not only undertake certain activi- 
ties but it should also lay out a plan of proposed future work. 
This plan should be discussed with the management and with 
others interested, but should not be announced until actually 
in operation. Too many service heads fall into the mistake 
of positively announcing plans which are only on paper and 
which, owing to unforeseen conditions, must later be changed 
or canceled. Promise and performance must come together, 
if the confidence of the management and workers is to be 
secured and maintained. 

Making New Workers Feel at Home 

In planning department activities considerable attention 
should be given to making new workers feel at home. This 
is vital. The treatment and first impression one receives upon 
entering a new enterprise are never forgotten. It is also 
specially important to remember that labor turnover statistics 
generally bring out the fact clearly that the greatest turnover 
exists among those employed less than six months. The fol- 
lowing figures from a concern employing over 10,000 are 
typical. Of 2,574 who left the plant in a particular month — 

74 or 2.9% were employed for 2 weeks or less 



352 


" 137 


tt 


" 


from 


2 to 4 weeks 


1,442 


" 36.0 


(( 


" 


tt 


1 " 3 months 


511 


" 19.8 


tt 


(C 


tt 


3 " 6 " 


*37 


" 5-3 


u 


tt 


tt 


6 " 9 " 


58 


" 2.3 


" 


It 


tt 


9 "12 " 



In another plant which employs about 5,000 the figures 
for the same month in which the above-mentioned condi- 



195 


or 


20.3< 


3^3 


" 


33-6 


239 


Si 


25.0 


H4 


" 


12.0 


50 


({ 


5-2 


20 


" 


2.0 



48 LABOR MAINTENANCE 

tions occurred show that out of a total number of 959 
terminations — 

were employed for 2 weeks or less 
from 2 to 4 weeks 
" 1 " 3 months 
« « " -? " 6 " 

" 6 " 9 " 
" 9 "12 " 

The remaining 18 men were employed for 1 to 3 years. 

Intelligent effort at reducing this instability will therefore 
consider the conditions surrounding the entrance of the new 
employee to his job. 

Instructions for "Interviews" 

The author, in the course of his work as employment 
advisor to several concerns, established the . following outline 
of instruction as part of the standard practice for the employ- 
ment and service departments. Results were highly gratifying. 
The men employed felt that the company was taking a personal 
interest in making them at home and did not merely throw 
them into the shop with the usual curt directions. 

Instruction is given to all interviewers in the employment 
department, assisted by representatives of the service depart- 
ment, to inform all applicants clearly regarding: 

1. Rate of wages paid, bonus plans, and other wage 

information. 

2. Hours of work. 

3. Opportunities for advancement and something about 

service features. A booklet describing service fea- 
tures and other conditions of employment should 
be given to the applicant. 

4. Necessity for steady attendance. 

5. Housing possibilities. 

6. Opportunities for training. 



SERVICE DEPARTMENT ORGANIZATION 49 

According to this plan, at the completion of the interview 
and the signing up of the new employee, the conductor (used 
in large firms to conduct new employees to the shops) will 
take the man to the appropriate department and there: 

1. Introduce him to the foreman or other superior. 

2. Introduce him to some of the men with whom he is to 

be associated in the work. 

3. Point out the location of toilets, locker, and other 

matter provided for his convenience. 

About ten days or two weeks later a member of the service 
department should follow the man up and acquaint him with 
the service activities which are being conducted for his benefit. 
Where possible the employment department should interview 
the worker at this time to learn how he is getting along. In 
this manner dissatisfaction on the part of employees may be 
determined at its inception and the heart of the labor turnover 
problem reached. 

Greeting New Employees — The Wrong Way 

It is the common experience of workmen who look for 
jobs with certain plants to find the first person who greets 
them to be a policeman who is on special duty in the employ- 
ment department and whose function it is to maintain order 
in the waiting-room (if one exists) or to conduct new workers 
to their jobs in the plant after they have been hired. Where 
this is the practice the new worker hardly gets a good impres- 
sion of the plant and often through the rough treatment he 
receives at the hands of these officers, becomes soured at 
employers in general and at his new concern in particular. 
This is a phase of the process of hiring which is neglected 
by many employers who sincerely want to do the right thing 
and perhaps spend much money in organizing their employ- 
ment and service work. 



50 LABOR MAINTENANCE 

Greeting Employees — The Right Way- 
Some employers have overcome this difficulty by taking 
particular pains to secure the right man to be the first point 
of contact between the man looking for a job and the manage- 
ment which offers it to him. One such establishment uses its 
men who have been employed for some time but owing to 
defective eyesight are unable to continue on their regular work. 
These men take care of those who are waiting to be inter- 
viewed and conduct those who are hired to their foremen. In- 
stead of a gruff custodian of order who leads a man to his 
job as if he were under arrest, we have a man who would 
say to the new fellow-worker — ''This is a pretty fine place 
to work in ; I've been here fifteen years ; you get a square deal 
here" — and make him at home with the conditions of his new 
job. 

Utilizing the Rulebook 

The employee's rulebook offers one good method of wel- 
coming the new worker. On the first pages of the book 
should be a welcoming letter to the new employee signed by 
the president of the company, and bearing his signature in 
facsimile. 

The rulebook should be made of permanent value to the 
worker by printing a two-year calendar on the back cover, 
and on the inside of the front cover a list of terms used in 
the business of the company, with definitions. A few pages 
of the booklet, which should be of convenient pocket size, 
might well be devoted to practical information which would 
help the worker in his trade. Then the employee would find 
the rulebook of value enough to carry it with him constantly. 
The usual rulebook is given a single reading, more or less 
hasty, and thrown away. A company wastes an opportunity 
if it does not have a helpful and interesting rulebook. 

The plant newspaper (see Chapter XX) offers another 



SERVICE DEPARTMENT ORGANIZATION 5 1 

good way of welcoming the new worker. An excellent ex- 
ample is shown in the following passage from Center Punch 
published by the American Multigraph Company, Cleveland, 
Ohio. 

When you go into a country or a strange place you are 
grateful to the man who extends to you the hand of fellow- 
ship, to the one who makes you feel at home. 

Remember the new employees on the job. They are 
strangers within our gates. Especially at this time when 
we are increasing our force are we afforded an opportunity 
of showing new employees that we are interested in them 
and that we are anxious for them to be satisfied. A little 
effort on your part can make the newcomers feel at home 
and will show them the feeling of co-operation you have . 
helped to build up. You can do more in five minutes to 
establish the right spirit while their impressions are forming 
than you can in many days after they have formed their 
opinions of you and your company. 

In case the newcomers are foreigners, there is even 
greater obligation to treat them as guests, and make them 
feel welcome. 

It is the privilege of every American at this time to 
make the strangers from other lands feel that we appreciate 
their help in winning this war. 

Treat them with the same courtesy and kindness that 
you would desire if you were a stranger in a foreign country. 

Your personal contact with foreign fellow-workers can 
Help to Unite All Races in America to win this war. 

"Follow-Up" Men 

Some plants have a " follow-up" man who looks after the 
new employee and makes sure that he is contented. As long 
as this is done without anything smacking of the paternal 
it is a splendid effort and fruitful in results. Another plan 
is to have a "reception committee" of workers or one man 
designated in each department or shop to meet new employees 
and acquaint them with the surroundings. Such work would 



5 2 LABOR MAINTENANCE 

best be done by volunteers who act in this capacity on com- 
pany time. Here again warning is necessary against over- 
doing the matter. To be oversolicitous about the new em- 
ployee is likely to bring a decidedly unfavorable reaction. 

Other Activities Outlined 

Among the activities which generally come within the scope 
of an employment and service department are the following: 
The list is included here for the sake of completeness and for 
the suggestions it may have for those interested in labor main- 
tenance in all its phases. 

I. Employment Division 

. i. Development of sources of labor supply and co-operation. 

2. Job analysis. 

3. Selection of applicants. 

4. Assignment to jobs. 

5. Transfers. 

6. Promotion. 

7. Discharge. 

8. Job adjustment. 

9. Handling absences. 

10. Employment records and statistics. 

11. Foremen conferences on employment problems. 

12. Reports of grievances. 

13. Wage studies and adjustments. 

14. Studies of cost of living, standardization of work, economic 

movements. 
15. Co-operation with other employment heads in developing 
the technique of employment management. 

16. Co-operation with service division in assisting workers in 

their problems. 

17. Shop committees. 

II. Service Division 

A. Health 

1. First-aid clinic. 



SERVICE DEPARTMENT ORGANIZATION 53 

2. Hospital. 

3. Dental clinic. 

4. Physical examination of applicants for employment. 

5. Periodic examination of employees. 

6. General medical assistance to employees. 

7. Visiting nurse. 

8. Oculist. 

9. Control of sanitary conditions in and about the 

plant. 

10. Co-operation with local and national health or- 

ganizations. 

11. Studies in occupational diseases and methods of 

improving the health of employees. 

12. First-aid instruction. 

13. Convalescent homes. 

14. Restrooms. 

B. Safety promotion 

1. Organized inspection and reports on conditions. 

2. Introducing safeguards against injury. 

3. Safety instruction and education. 

4. Organization and development of safety and sug- 

gestion committees. 

5. Fire drills and organizations of fire prevention 

work. 

6. Records and statistics. 

C. Education 

1. Technical and trade training. 

2. Instruction in business practice. 

3. Americanization. 

4. Literary clubs and classes. 

5. Co-operation with general, trade, and technical in- 

stitutions. 

6. Library work. 

7. Shop talks. 

8. Foremen training. 

D. Housing 

1. Registry of rooms, apartments, and houses avail- 

able to employees. 

2. Bulletins of information. 

3. Supervision of company houses. 



54 LABOR MAINTENANCE 

4. Improvement of housing standards in the com- 

munity. 

5. Assistance in new housing developments. 

E. Social Activities 

1. Athletics. 

2. Dramatics. 

3. Musical work (band, orchestra, chorus, glee club, 

etc.). 

4. Dancing. 

5. Outing and picnics. 

6. Vacation camps. 

7. Community enterprises (pageants, festivals, etc.). 

8. Clubhouse. 

F. Special Activities 

1. Restaurant or lunchroom. 

2. Employee's newspaper or magazine. 

3. Group insurance. 

4. Sickness insurance. 

5. Mutual benefit associations. 

6. Pension funds. 

7. Legal aid. 

8. Profit-sharing. 

9. Co-operative buying. 

10. Home gardening. 

11. Day nursery. 

12. Employee's bank, thrift clubs, savings and loan 

associations, etc. 

13. Transportation information and arrangements. 

14. Employees' committees. 

15. Training in domestic science. 

The Budget — The Department's Estimate 

Making up a budget is often one of the exasperating tasks 
of an executive. When a department has been in operation 
for some time it is a fairly simple matter to take the budget 
for the previous year, add the items which mean new expendi- 
tures, and make an estimate of the amount required by such 
new items. At the first organization of the department, when 
previous records are not available, it will be necessary: 



SERVICE DEPARTMENT ORGANIZATION 55 

1. To make a complete outline of proposed activities which 
will require an appropriation, and then make careful estimates 
of the cost of such activities. 

2. To itemize the staff requirements of the department 
personnel indicating how much each is to receive in salary or 
wages. Salaries and wages are usually determined by the 
management or by the prevailing rates paid by plants of the 
same size having similar departments. The salaries of service 
directors or managers range from $1,200 to $5,000 per year 
depending upon the scope of activities engaged in, the training 
and experience of the person in charge of such activities, and 
the degree of enlightenment of the management. 

3. To determine what rent, if any, is to be charged to the 
department, and the amount of furniture and supplies to be 
arranged for. Generally the cost of furniture and supplies, 
heat, light, etc., are figured out by the cost accounting depart- 
ment or such other department as concerns itself with such 
items. 

The Employer's Estimate 

Aside from the estimates which the head of the service 
work makes, the employer himself has to decide how much 
money he will spend for such activity. Little information is 
available as to the costs. The United States Department of 
Labor not long ago attempted to ascertain what such costs are. 
According to the few replies received, the expense varied from 
a fraction of 1 per cent to 5 per cent of the total annual pay- 
roll. The higher percentages included the costs of pension or 
insurance plans or maintenance of large clubhouses. The 
conclusion arrived at by the investigation was that an expendi- 
ture of about 2 per cent of the annual pay-roll would provide 
for a program of fair proportions. 1 



1 For further information on the subject the reader is referred to "Employment 
Management," by Daniel Bloomfield, H. W. Wilson Company, New York, pages 441-8. 



CHAPTER V 

THE SERVICE MANAGER 

A First-Rate Executive Needed 

Successful service work is not a matter of chance. Nor 
is it something that succeeds by planless, haphazard procedure. 
If it does not receive the careful consideration of able execu- 
tives it had better not be attempted. 

It has been demonstrated that social activities thrive when 
the rank and file have a large share in their administration. 
Service work in an industry stands a far better chance of 
success if it represents a co-operative effort on the part of 
management and employees. With this new conception of 
the motive which should underlie service to employees, a 
change has come in the specifications for those who are to 
take charge of it. There have always been highly competent 
men and women who have carried on the service enterprises 
of industry. But not in every case has there been a sufficiently 
high standard of personal equipment, nor has sufficient respon- 
sibility been placed on the service agent for the best results 
to be possible. Today, however, any establishment which 
has a proper respect for the importance of social service 
work recognizes the importance of placing in charge 
the best possible man or woman, and adding power enough 
to enable this executive to function to the best advantage. 

There can be no question that service work is vitally im- 
portant both to output and to»sound industrial relations. No 
sentimental reasons are needed to justify it. Properly man- 
aged and supported service departments contribute positively 
to business success. Moreover, it is not a question of charity 

56 



THE SERVICE MANAGER 57 

or benevolent spirit. Workers do not want charity; level- 
headed employers know that good sense and just dealing count 
for more than philanthropic emotions. Both parties to the 
industrial bargain keep their self-respect when the relations 
are frank, fair, and businesslike. Whatever promotes health, 
and comfort, whatever secures absence of strain, and satis- 
faction, and stimulates hope, ambition, and intelligence is so 
much clear gain for industry. Whatever retards or impairs 
these things is a foe to production and right relations. Modern 
service departments are organized in the light of this truth, 
and the service director must be competent to conduct his work 
with due regard for its meaning. 

General Qualifications 

The various types of service activities indicated in the 
previous chapter will be taken up in detail in succeeding 
chapters. At this point it will be helpful to discuss briefly 
the general qualifications of the service manager or superin- 
tendent. As in so many other branches of industrial activity, 
the man— or the woman — is more important than the plan. 

Needless to say, character is the chief requisite in a service 
manager. Everyone will naturally look to him for humane, 
intelligent, and disinterested service. What he is will count 
for even more than what he does. Nothing is more hopeful 
as a sign of industrial advance than the fact that the capable 
men and women who have thus far been drawn into various 
forms of philanthropic work feel a call now to use their 
abilities and experience in connection with some industrial 
organization, and that industrial managers are seeking out 
just such workers for employment within their plants. 

Social service is a great specialty by itself. Its literature 
is enormous. The leaders in this field are men and women 
of international fame and their following is world wide. The 
service director must know something of the work that these 



58 LABOR MAINTENANCE 

leaders have done and the principles they stand for, in order 
that he may not only profit by their achievements, but also be 
sufficiently initiated to know how to apply, so far as prac- 
ticable, the best that has been done in social service work. 
The service manager in order to handle industrial service work 
intelligently, should have accurate knowledge of: 

1. The views and conditions of labor throughout the 

country. 

2. The problems of unemployment and the best thought 

on the methods of meeting these problems. 

3. The problems of health and sanitation in their rela- 

tion to the community. 

4. Immigration in all its phases and particularly its 

effects upon industry, our institutions, the com- 
munity. 

5. Social legislation. 

6. The problems of recreational work. 

7. The problems of charity and its administration. 

8. The problems centering about good government — 

city, state, and national. 

9. Organized social and industrial movements, particu- 

larly the latter. 

10. The work of local social agencies. 

11. Industrial history, which will throw considerable 

light on the development of present-day industrial 
movements. 

12. The subject of employment management, for here 

he will find one practical application of principles 
developed in the field of social service. 

13. The organization of industrial concerns. 

14. Methods of compensation. 

15. The principles underlying vocational education and 

guidance. 



THE SERVICE MANAGER 59 

Training and Experience 

In addition to a wide, accurate knowledge of the field, 
training and experience are requisites. While the training 
must include a good deal that from the viewpoint of indus- 
trial work seems theoretical, nevertheless theory gets the mind 
in the habit of thinking through a problem in the light of 
general principles. The man or woman who is college trained, 
who is well read in economic and social literature, who has 
had experience in dealing with people, will usually succeed 
in the work of the service manager. Experience may be had 
in hundreds of institutions, public and private. If to this 
training is added experience both as a wage-earner and as a 
minor executive in a business or industrial concern, the prac- 
tical side will have been joined to the theoretical, and the 
general equipment will be exactly what is needed. 

Personality 

Personality is a great asset in all work which calls for 
contact with others. The bond of sympathy works wonders. 
Lacking this, contact must perforce be superficial, and much 
of the value of service work is lost. 

A certain plant had a service superintendent who had 
excellent training and some valuable experience in public work 
before he came to his job. He possessed a good mind and 
was able to plan things out clearly and well. But he could 
not gain the confidence of the men. The explanation was 
found in his personality. He lacked sympathy and ability to 
project himself so that he could see things from the stand- 
point of the worker. When forming plans he rarely con- 
sulted the workers and when he did consult them he would 
engage in hair-splitting as to his point of view. He knew 
what the men ought to have much better than they did, he 
argued, because of his previous experience, but he did not 
realize that he had a new situation before him. 



60 LABOR MAINTENANCE 

Judgment 

But a sympathetic personality, and the capacity to enter 
the moods of others are not enough — the quality of good 
judgment must be added. The service director needs a good 
deal of seasoned wisdom in the situations that arise. Good 
sense is worth more than kindly impulse. Good sense and 
sympathy together make the right combination for the helpful 
and successful service director. 

One of many cases demanding good judgment and tact 
was that of the service director of a plant which was planning 
to institute a system of physical examinations of employees. 
Considerable opposition to any scheme of such examinations 
was voiced by individual employees and by the leaders of the 
union to which many of them belonged. When he learned 
this the service director called a conference of representatives 
of the men and talked over with them frankly and at length 
the pros and cons of the situation. The men were finally 
convinced that it was to their particular advantage to have 
physical examinations instituted and the plan went through 
without opposition. But it was owing only to the judgment 
and tact of the service director that the scheme succeeded. 

Possibilities 

There is no limit to the good that a manager of the right 
type can do. He becomes one of the most valuable assets of 
the plant personnel. Records from plants which have enjoyed 
the services of a successful manager prove the importance of 
service work conducted by men and women of peculiar fitness. 

Discussing this point in a letter to the author, Ernest C. 
Gould, an industrial engineer who has had large experience 
with industrial relations departments, insists that the director 
of employees' service work should be a natural leader of men. 

He must possess an unlimited amount of altruism, sym- 
pathy, and patience. He should have a broad education and 



THE SERVICE MANAGER 6 1 

considerable business experience. He should be energetic 
and mingle freely with the various elements comprising the 
company organization and that of the community. His per- 
sonal character should be the highest. 

Where to Find the Man 

It is evident from the qualifications noted that a good 
service department director is not always easy to find. There 
seems to be no specific field from which service managers 
can be drawn/ but many successful directors have been 
developed from lawyers, educators, Y. M. C. A. workers, etc. 
Inasmuch as modern service management requires training 
as long continued and intensive in its way as that of a profes- 
sion, it is beginning to receive the prestige and remuneration 
that a recognized profession enjoys. As a result many am- 
bitious persons of more than ordinary ability have taken up 
the work. Another incentive for such persons is the fact 
that service work often leads to more lucrative positions. For 
instance, when a vacancy occurs in the position of labor man- 
ager or manager of industrial relations, the logical person 
to be promoted is the service manager. The possibility of 
such advancement reacts in turn upon the standard set for the 
service manager, for promotion is possible only when the 
service manager possesses high qualifications. 

Correlation of the Employment and Service Departments 

The work of the service department is so closely bound 
up with the activities of the employment department that it 
is difficult to mark the. line of cleavage. In most concerns 
employing not more than 3,000 persons or so, the usual prac- 
tice is to combine the two groups of activities into a single 
department — the employment and service department — under 
a single head. One division of that department has special 
charge of employment and another division special charge of 



62 LABOR MAINTENANCE 

service. If the plant is not large enough for a department 
of such size, the manager of the employment and service 
department may himself direct all personnel and service 
work. 

Duties of the Employment Manager 

In a concern which maintains a separate employment de- 
partment the employment manager devotes most of his time 
to problems of hiring the workers, and to their rating, transfer, 
promotion, and release from employment. He must also 
handle wage problems and determine the worker's fitness for 
the job. His task, especially where the concern is large and 
the working force widely varied, is exacting and requires much 
time and thought. If he is to do his best, he needs the constant 
assistance and co-operation of the service manager. 

Duties of the Service Manager 

As discussed in this book, the work of the service manager 
consists of the supervision of such plant activities with refer- 
ence to employees as do not come within the province of the 
employment department. Although the duties of the service 
director are varied, they are far from being indefinite. They 
fall into two groups, both of which are highly important 
in building up plant spirit and satisfaction among employees: 
(i) the organized activities, (2) the informal, intimate activi- 
ties, often of a confidential and rather personal nature. In 
general, the organized activities of the service department have 
been outlined in the preceding chapter. For obvious reasons, 
the informal activities do not readily admit of classification 
but their importance will be readily understood. 

It is interesting in this connection to note that some leaders 
in the new field of industrial medicine would turn over the 
entire personnel organization to a specially trained physician. 
In addition to medical training, however, it is essential that 



THE SERVICE MANAGER 63 

the physician have the qualifications of training and experience 
necessary for successful service managership. 

The English Viewpoint 

The experience of England with "welfare supervisors," 
already referred to, has much of significance for the American 
movement of personnel and employment management. When 
women came into industry in increasing numbers during the 
war it was found desirable to introduce "welfare supervision" 
into industrial plants. The conception of "welfare super- 
visor" approached somewhat the American idea of employ- 
ment and service manager ; but in the first place the emphasis 
has been more directly placed on "maintaining a healthy staff 
of workers" and helping maintain satisfactory conditions for 
work, and in the second place the English supervisors are 
women. Their duties consist of: 

1. Hiring or keeping in touch with the hiring of new 

workers. 

2. Selection of foremen. 

3. Investigation of dismissals and resignations. 

4. Investigation of cases of sickness and lost time as well 

as of poor output owing to ill health. 

B. Seebohm Rowntree, a most progressive employer, who 
during the war headed the Welfare Department of the British 
government, suggested that the women welfare supervisors 
should have a general supervision over working conditions — 
especially for night work — and over canteens and restrooms, 
and that they should co-operate with the plant doctor and 
nurse. He also suggested that they should keep posted on 
the wages received, investigate complaints by the workers, and 
help maintain discipline. 

In the organization recommended by the Munitions Com- 
mission, the welfare supervisor was made directly responsible 



64 LABOR MAINTENANCE 

to the general manager. A definite position for the welfare 
supervisor on the managerial staff in connection with the labor 
department of the factory was also recommended. In this 
way the supervisor would be able to refer all matters calling 
for attention direct to the general manager and would be 
"regarded by him as a liaison between him and the various 
departments dealing with the women employees." 

Such a conception of the duties of a supervising official 
would be directly applicable to the American plant employing 
women entirely or in large numbers. 

Duties Inside and Outside the Factory 

The Ministry of Munitions grouped the needs of the 
workers with which the supervisor was to concern herself as 
follows : 

i. Needs within the factory. 
2. Needs outside the factory. 

Inside Supervision of Working Conditions 

Under the heading of "needs within the factory" comes the 
matter of supervision of working conditions. The welfare 
supervisor was made responsible for: 

1. General behavior of women and girls inside the factory. 
Responsibility for the technical side of the work was left to 
the technical staff. 

2. Transfer. If the health of a woman was affected by 
the particular process on which she was at work, the welfare 
supervisor, after consultation with the foreman concerned, could 
suggest to the management the possibility of transfer of the 
woman to work more suitable to her condition. 

3. Night supervision. It was recommended that the wel- 
fare supervisor have a deputy for night work "and should 



THE SERVICE MANAGER 65 

occasionally visit the factory at night to see that satisfactory 
conditions are maintained. " 

4. Dismissal. The welfare supervisor should be consulted 
with regard to the dismissal of women and girls. 

5. The maintenance of health conditions. From the point 
of view of the health of the female employees, the welfare 
supervisor should see to the general cleanliness, ventilation, 
and warmth of the factory and keep the management informed 
of the results of her observations. 

Canteens for Workers 1 

With reference to canteens for the workers it was sug- 
gested that, unless the factory was a small one, it would hardly 
be possible for the welfare supervisor to manage the canteen. 
The management would probably prefer to entrust that to a 
person of special knowledge. In consultation with the man- 
ager of the canteen the welfare supervisor should make sure 
of the following points: 

1. That the canteen provide suitable food for the women 

workers, rapidly and punctually served. 

2. That canteen facilities are provided when necessary 

for the women before they begin work so that no 
one need start work without having taken food. 

3. That the canteen is as restful and as comfortable as 

possible so that it serves the double purpose of 
providing rest as well as food. 

Ambulance, Restroom, and First Aid 

The commission recommended that while the welfare 
supervisor was not responsible for actually attending to acci- 
dents, except in small factories, she should work in close co- 
operation with the factory doctor and nurses and should: 



1 Much attention was given to this subject by the British government during 
the war. 



66 LABOR MAINTENANCE 

1. Help in the selection of the nurses, who should be 

recognized as belonging to the welfare staff. 

2. See that nurses should carry out their work promptly 

and that the workers were not kept waiting long 
before they received attention. 

3. Supervise all records of accidents and illness in the 

ambulance room. 

4. Keep in close touch with all cases of serious accident 

or illness. "It would be useful if she were allowed 
to be kept in touch with the compensation depart- 
ment inside the factory with a view to advising on 
any cases of hardship that may arise." 

Cloakrooms and Sanitary Conveniences 

In the matter of supervision of cloakrooms and sanitary 
conveniences the welfare supervisor should be held responsible 
for: 

1. General cleanliness 

2. Prevention of loitering 

3. Prevention of pilfering 

"The management will decide what staff is necessary to 
assist her ; and it should be her duty to report to the manage- 
ment on these matters." 

Outside the Factory 

The welfare supervisor should keep in touch, preferably 
through the management, with all outside agencies responsible 
for: 

1. Housing 

2. Transit facilities 

3. Sickness and maternity cases 

4. Recreation 

5. Day nurseries 



THE SERVICE MANAGER 67 

Personal Records of Employees 

The commission also urged that personal records of every 
woman employee be kept as a means of helping the welfare 
supervisor in her work, especially in order that the worker's 
health might be inferred from them. Records of special sig- 
nificance are those of : 

1. Wages. "The welfare supervisor could then watch the 
rise and fall of wages earned by individual employees from 
the point of view that a steady fall in earnings may be the 
first indication of an impending breakdown in health." 

2. Lost time. Such records could furnish information as 
to sickness, inadequate transit, and urgent domestic duties 
which might not otherwise be discovered. 

3. Accident and sickness. As sickness makes a worker 
less apprehensive of danger and is conducive to carelessness, 
a marked increase in accident frequency might indicate a poor 
standard of health. Records of sickness would serve to call 
the attention of the welfare supervisor to cases which might 
otherwise be overlooked. 

The Future of Service Work 

It is obvious from all that has been presented in this 
chapter on the service manager that a new and important 
function in industrial administration has come into being. 
Much of what the modern service director does has, of course, 
been done before. But it is characteristic of modern manage- 
ment to take familiar activities and to give them a new founda- 
tion of aim, place, and responsibility. 

This is the case with service work. There is little con- 
nected with it that is wholly new in detail. But the work 
is being more clearly defined and a new underlying purpose is 
being emphasized. This marks an advance. As one result, 
a new demand has developed for trained and competent per- 
sons to take charge of such work. 



68 LABOR MAINTENANCE 

Industrial management always gains as it raises the 
standards of qualifications of those who have to administer 
its various departments. It suffers when standards are low. 
The coming of capable service directors in growing numbers 
is one of the hopeful advances which modern industrial ad- 
ministration is making. 



CHAPTER VI 

BUILDING UP A PLANT SPIRIT 

The Problem of Morale 

One of the most fundamental problems in a large estab- 
lishment has to do with what may be termed "plant spirit." 
The success or failure of an enterprise depends on the state 
of mind of the industrial worker. Industrial management 
has given too little thought to this aspect of industry. One 
still hears the hoary remark: "We're not in business for our 
health. Why should we bother about what the men think ? We 
are interested only in what they produce." 

Yet production is far more a matter of men than of 
machinery ; and if managers are interested in production, they 
must of necessity be interested in men. Maintenance of labor 
so that it can perform efficiently with the least waste is a 
primary factor in production. If industrial management is 
not interested in its men, its men will not be interested in 
what they are given to do ; and when a man's heart is not in 
his work, his work will not be good. 

It is this very indifference which hampers production, and 
which has helped bring about class hatred and conflict. It 
is mainly the same lack of vision which has created the so- 
called labor problem. 

Plant Spirit — Right and Wrong 

Perhaps the question of plant spirit — the sort that makes 
for contentment among the workers, and increased production, 
or the sort that makes for just the reverse — can best be ex- 
plained by citing an example of each kind. 

69 



70 LABOR MAINTENANCE 

A certain corporation has a number of plants manufac- 
turing the same product. Two of these plants are located in 
similar neighborhoods peopled by foreign-born workers. The 
physical equipment in both plants is identical, and the rate 
of wages paid is the same. Neighborhood competition for 
labor in both places apparently differs very little. Yet in one 
of these plants the labor turnover is extremely high, while 
in the other the turnover is one of the lowest that any of the 
plants of this concern can boast. 

What is the explanation? Plant spirit. The superin- 
tendent of the plant with the high labor turnover is egotistic, 
selfish, and tyrannical; and because of these things, and his 
unjust methods, he has lost not only his men, but some of 
his best foremen. The superintendent of the other plant takes 
as much pride in the justice with which his men are treated 
as he does in the excellent business methods he uses in operat- 
ing the plant. 

These two plants are as different in spirit as they are alike 
in physical equipment. That is the only explanation for the 
difference in labor turnover. In one plant, what little spirit 
exists is one of discontent and internal strife. In the other 
plant the spirit is of the right sort; and its results are con- 
tented workers, low labor turnover, and increased produc- 
tion. 

What Plant Spirit Is 

Let us consider what plant spirit really is. To begin 
with, it is more than a state of mind. It is as tangible as 
the good-will of a going concern. It depends upon many 
material as well as psychological elements. But it cannot be 
imposed from without; it must come from within the plant; 
it must be spontaneous. The remainder of this chapter is 
devoted to an analysis of the component parts of this plant 
spirit. 



BUILDING UP A PLANT SPIRIT 7 1 

i. Right Working Conditions 

Plant spirit rests upon working conditions which are right. 
This means bright, cleanly surroundings, good ventilation, 
proper lighting, modern sanitary conveniences, proper tools 
and equipment. It also means reasonable hours of work and 
avoidance of overfatigue. It involves the payment of ade- 
quate wages — that is, wages which more than cover the 
minimum of subsistence. 

2. Elimination of Fear and Uncertainty 

Plant spirit rests upon the elimination of fear and uncer- 
tainty — fear of wrongful discharge, of unemployment, of in- 
capacity to earn a livelihood through injury, ill-health, or old 
age. So we find employers placing restrictions about the 
power of discharge that it may not be exercised in haste. 
Instead of allowing a foreman to "fire on the spot," modern 
methods require some other officer to approve the dismissal 
of a worker before it becomes effective. This is to make 
sure that no injustice is done the worker. His dismissal from 
one department does not necessarily mean complete discharge. 
He may prove valuable in another department where he is 
better suited to the work, or where personal adjustment may 
be more satisfactory. A worker once hired is an investment. 
The presumption is that he was employed because of his 
peculiar fitness. It is the business of the company to make 
the man's services an asset. Of course mistakes will be made, 
but helpful supervision will reduce the number of errors. 

Limiting the "Power of Discharge" 

At the Firestone Tire and Rubber Company, Akron, Ohio, 
the power of absolute discharge is vested only in the superin- 
tendent of labor. Department managers, foremen, and 
assistant foremen have only the power of suspension, which 
in no case may exceed the period of one week. In the ma- 



72 LABOR MAINTENANCE 

jority of cases there, suspension operates for a day or two, 
or the employee is referred to the superintendent of labor. All 
the facts in the case reach the superintendent of labor before 
the worker arrives and it is the duty of this official to study 
them before making up his judgment. The motive, of course, 
is to prevent the losses of time, money, and good-will which 
follow unjustifiable discharges. 

The general superintendent of the above-mentioned com- 
pany makes some interesting comments on the operation of 
this plan: 

We believe that an employee is an asset to the company 
and that there is some place, particularly in a large organiza- 
tion like our own, where this employee is of value. We are 
simply trying to find the proper niche in our organization 
where this certain employee can be of greatest service. We 
feel that this is a good thing for the employee as well as 
the company. 

Some of our department managers, foremen, and assistant 
foremen felt at the time this subject was under consideration, 
that it would detract from their control over the employees 
under them. This anxiety has been proved groundless in 
our judgment. 

We believe that our employees feel that they are not going 
to be subject to the prejudice of those immediately and directly 
over them, but will be given a fair hearing by one who is 
unprejudiced — in our particular case, our superintendent of 
labor. 

We believe that the relations between our men and the 
foreman over them is much better under our present system 
than it was prior to our instituting the same. 

A Plan for Regulating Discharges 

For the benefit of employers who wish to adopt a plan for 
regulating discharges, the author presents the following out- 
line which may be modified to suit the conditions of a particular 
plant. 



BUILDING UP A PLANT SPIRIT 73 

Outline of Plan for Suspension, Discharge, and 
Transfer of Employees 

I. Terminations. All terminations must pass through the employment 
department. (Foremen are not to discharge except in cases 
of serious breach of discipline.) 

A. Suspension : 

1. If for some reason a foreman wishes to drop a worker 

or remove him from his department he will notify 
the worker that he is suspended and is to report to 
the employment manager. (A simple form card can 
be used for this purpose.) 

2. When the suspended worker reports to the employment 

manager he is told his case will be taken up at once 
and he will be notified of the result of discussion of 
the case with his foreman. 

3. It may be decided that the worker go back to his 

foreman and have another trial ; or he may be trans- 
ferred to another department, or he may be discharged. 
The period of suspension should be limited to a day 
or two; the shorter it is, the less likelihood of 
losing good workers. A worker improperly sus- 
pended should receive his regular pay for the 
period of the suspension. When circumstances 
permit, it might be well to have a committee 
representing the employees and the management 
equally, to decide on cases of suspension and 
discharge. 

B. Discharge. Where there is a serious breach of discipline 

or other conduct warranting immediate severance of the 
employee's connection with the company, the foreman may 
discharge the offending employee, who will report at once 
to the employment department which will approve and 
record his termination slip. 

This method will uphold discipline of the foreman and 

will enable the management t3 consider each case on 

its individual merits so that a discharge is always 

based upon just consideration. 

The discharge will then be the last resort. Workers 



74 LABOR MAINTENANCE 

will readily see that they are given every opportunity 
to make good and that if they are expelled it is for 
a good reason, after careful consideration of the case 
by impartial authorities. 

II. Transfers. Recommendations for transfers should be made to 
the employment department before the transfer takes place 
unless the transfer means a promotion. All statistics as to 
transfers should be placed in the hands of the employment 
department for its turnover records. 

The author has installed this plan in several large industrial 
undertakings, and it has everywhere worked out with success. 
It has helped the worker realize that he is getting a square 
deal and has aided considerably in removing the mistrust of 
each other by foreman and worker. Its great advantage is 
that it has preserved the disciplinary power of the foreman 
and at the same time adjusted a condition which made for 
bitter feeling. The decrease in labor turnover accompanying 
the operation of the plan in each plant was immediately 
evident. 

Employees Must Be Treated Fairly 

The next principle, that employees must be treated fairly, 
is really a corollary of the one just developed. A business 
venture not based on the "square deal" cannot hope to have 
labor stability. Nothing so fans the flames of ill-will as 
injustice. Men will go to extremes when their rights have 
been invaded or ignored. Some employers have deluded them- 
selves into the belief that a system of espionage must be main- 
tained in their plants in order to maintain peace; it is no 
wonder that when the same employers have instituted elaborate 
"welfare work" their efforts have met with little enthusiasm. 

One such employer found himself with a costly strike on 
his hands when his "spotters" were discovered. He abolished 
his spies and began anew with the determination to take his 



BUILDING UP A PLANT SPIRIT 75 

workers into his confidence. He asked that his men select a 
works committee to represent each shop and advise with the 
management on all mutual matters. The effects were immediate. 
The spirit of the workers changed. Instead of gloom, sus- 
picion, and unrest, an atmosphere of cheerfulness and satisfac- 
tion developed. 

Favoritism on the part of foremen and sub-bosses is one 
of the elements which disturb a sound plant spirit. In indus- 
trial relations as in all other human relations, fair play is 
basic to mutual respect. No one should have a place in the 
organization except on his merits. Nepotism, job-selling, job- 
holding because of personal friendship, partiality shown to 
workers of certain religious creeds or to members of fraternal 
associations, are negative efforts at labor maintenance. They 
breed suspicion and discontent. They destroy good-will. 

Confidence depends upon deeds. The management must 
show by its acts that it is fair. It must evidence its good 
faith by meeting its workers half-way, and by insisting that its 
staff do likewise. 

3. The "Other Fellow's Point of View" 

So the next principle calls for appreciation of the other 
fellow's point of view. Men must know each other. What 
Clarence H. Howard, President of the Commonwealth Steel 
Company, calls the "Fellowship Ideal" must pervade the 
organization. And in his words that means "The adoption of 
the principle of Right as the unerring law of action — the pas- 
sion to serve the Right in all relations of life/* 

It is the aim of fellowship to take the word "toil" out 
of the language and substitute the word "service." 

The Commonwealth idea is that all men working together 
for a common purpose in the business are co-workers. All 
parts of the structure must work in harmony. Business is 



76 LABOR MAINTENANCE 

to be looked upon as service, not only to the public, but of 
each part of the business to every other part. 

Fellowship always figures how much it can share with the 
men, not how little it can give them. In fellowship, authority 
is a position of trust and not one of personal power and 
aggrandizement. Fellowship is strict in acknowledging and 
rewarding merit and discountenancing poor work. It is not 
an easy boss but it is a fair one. 

The successful manager of men knows his men. He knows 
and appreciates what they are reading, thinking, and talking 
about. If they are foreign born he knows something about 
their customs and ideals. He gains their respect by his knowl- 
edge of their mother country. He inspires them with the 
desire to "make good." This relationship is the secret of 
good-will. 

He will not make the mistake which a certain executive 
of a large manufacturing plant made in seeking to develop 
a good spirit among his men. He thought he would "go the 
rounds" on the day before Christmas to extend the greetings 
of the season to each employee. His motives were good and 
he was sincere in his effort. But he knew very few of the 
employees and few knew him except by name. It was impos- 
sible for him to achieve his object because the whole thing 
looked artificial, if not ludicrous. 

4. Self-Help Through Mutual Respect 

The next factor may be called the development of self- 
help through mutual respect and co-operation. Mutual respect 
is based on the factors discussed in this chapter, but mainly 
upon mutual understanding. Industrial friction is too often 
the result, in part at least, of misunderstanding. 

Business success is a result of team play, where all forces 
are joined in a common purpose, where management and 
men are impelled by motives which are commonly understood. 



BUILDING UP A PLANT SPIRIT 77 

Each side must appreciate the problems of the other, and 
instead of suspicions, antagonisms, indifference, or intolerance, 
there must be mutual confidence and active co-operation. No 
matter how humble a worker's job may be, his place in the 
organization is important. Management cannot afford to be 
indifferent to the desires and aspirations of the subordinate 
workers. From that group many a leader has been developed. 
And if this group is to function constructively it must receive 
constructive attention. 

A Specific Instance of the Development of Self-Help 

To take a specific example: The Jones Manufacturing 
Company has a department in which the majority of workers 
are unskilled. The superintendent expresses his contempt for 
the men in this department because they seem to care for 
nothing but more wages and to "show them a lesson" he will 
"fire on the spot" any fellow who asks for a more substantial 
return for his labor. He is disturbed because he cannot get 
the men to work harder and the more he berates these fellows 
through his foremen and sub-bosses the more exasperating is 
their lack of response. Soon there is an undercurrent of un- 
rest. The men are sullen and there is a flare-up here and 
there when harsh words are applied by the bosses. Suddenly 
notice comes to the superindentent that the men will go out 
on strike within twenty-four hours unless their "demands" 
are met. He rages at the men and refuses to see their com- 
mittee. The strike takes place and feeling becomes bitter. 
Pickets appear and the work of the company is seriously crip- 
pled. Finally the strike is settled upon a compromise of 
terms laid down by the workers. The president of the com- 
pany, much disturbed about the matter, looks into the condi- 
tions causing the strike and finds no grievance that is in itself 
really important, but an accumulation of petty troubles 
which should never have been allowed to po on unheeded. 



78 LABOR MAINTENANCE 

Then the president brings in a new superintendent, a man 
of broad sympathies and a keen judge of men. This new 
manager arranges to meet the workers personally and provides 
opportunity for them to come to him directly with any griev- 
ance they may have. He treats every worker man-fashion, 
and makes it his business to encourage the men to develop 
themselves through schools, self-governing clubs, and frequent 
addresses and lectures on matters of interest. He insists that 
foremen and subexecutives must practice courtesy at all times. 
He makes it clear that he will brook no arbitrary conduct on 
the part of his operating staff; and at the same time lets the 
men know that he expects of them the same spirit of fairness 
and co-operation which he is extending to them. 

It is not long before a marked change in the morale of 
the men is evident. They work with a new vigor and there 
are fewer terminations from the department. Respect replaces 
mistrust and there is peace and production. 

5. Opportunities for Advancement 

The fifth principle requires provision of opportunity for 
initiative and growth. Where employment is not continuous, 
where there is no opportunity for promotion or encourage- 
ment of effort, little may be expected in the way of loyalty. 
The reader is no doubt familiar with plants where these 
factors, and some others mentioned in this chapter, are respon- 
sible for a demoralized work force. There can be no esprit 
de corps where jobs are temporary, where the management 
is constantly shifting men around, where the workers feel 
they may at any moment be thrown out of employment, where 
there is no attempt to search out special merit and encourage 
it and where vacancies are filled from the outside instead of 
building from within. Instances are numerous where men 
have put their hearts and souls into their work with g£>od 
results only to wake up some day and find new men thrust 



BUILDING UP A PLANT SPIRIT 79 

upon the organization and chances for advancement made 
more remote than ever. When a man's spirit is broken, when 
he feels himself a cog in a ruthless machine which ignores 
faithful service and offers no incentive for enthusiastic effort 
how can we expect anything resembling plant spirit ? 

A wise management will study itself and offer a definite 
system of promotions and advancement to those who show 
meritorious service. This means carefully worked out job 
analyses and wage payments, service records that are com- 
prehensive histories of workers and their capabilities, as well 
as intelligent appreciation of the psychological factors govern- 
ing human conduct. 

Not only must there be room for initiative and growth 
within the organization as such but the personal development 
of workers through their own social activities must be en- 
couraged. The problem of the worker's leisure is more than 
a personal problem; it is a community problem, and the em- 
ployer can help in its solution. The intelligent use of leisure 
makes for sound citizenship, without which industry cannot 
maintain itself. The specialization of processes in large-scale 
production produces a monotony which must be offset by 
human enterprises that allow mental and social development. 
Employee activities foster healthy plant spirit. Further con- 
sideration of this factor will be found in succeeding chapters. 

6. Enthusiasm of Management 

The sixth principle is enthusiasm on the oart of the man- 
agement. 

An organization generally reflects the spirit of its manage- 
ment. A gloomy, pessimistic outlook by the management 
cannot produce a cordial spirit. Many a plant has suffered 
from this. Such a disposition on the part of the management 
breeds distrust, suspicion, and hard feelings. Progress in right 
relations between management and men under such circum- 



80 LABOR MAINTENANCE 

stances becomes more and more impossible. "All our modern 
industrial social problems," says Gerald Stanley Lee, "are 
problems of gearing people up." Successful leadership in 
business and industry carries with it never-failing enthusiasm, 
the enthusiasm that inspires confidence, action, and good-will. 
When Joseph W. Powell passed through the shops of the 
great shipyard of which he was president, the men would 
warm up to his cordial greeting and take a new interest in 
their work, for "Joe" Powell's enthusiasm is irresistible. 
When "Charlie" Schwab talked to the boys at the Hog Island 
Shipyard at a time when the rivet-driving records were going 
down there was an immediate reaction and the figures of 
production took a decided leap upwards. And so with many 
concerns throughout the country. Men are inspired to do 
their best because the management believes in its men, in its 
work, and in action. Selling its product is not the only func- 
tion of a business; it must "sell" itself to its workers, it must 
inspire confidence, and through its example spread enthusiasm 
so that it reaches every worker. 

The Part of the Foreman 

Paramount in importance is the co-operation of foremen 
in making labor maintenance work a success. Too often this 
factor is ignored, but effort is well spent in trying to win 
their interest and support. Let us here emphasize the fact 
that the foreman is the key man in the structure of labor 
maintenance. By his attitude he may b'uild or destroy the 
work of months and years. He is the one in closest contact 
with the workers. To them he represents the management. 
Practically their entire time is spent under his close super- 
vision. It is highly essential, therefore, that the foreman 
should act as agent for the service department as well as for 
the company in general. 

The foreman's chief job is to maintain and increase produc- 



BUILDING UP A PLANT SPIRIT 8l 

tion. But no matter how intolerant he may be of "new- 
fangled" ideas, no matter how busy he may be with the 
material elements which concern output, he can be made to 
realize how much his production record depends upon a con- 
tented labor force. It needs nothing but common sense to 
tell him that he has nothing to lose and everything to gain 
by appreciation of the human factors which govern successful 
man-power control. As a rule, however, he needs to be 
impressed with the importance of his share in reducing the 
wastes following instability of labor. The truth is that his 
responsibility in labor maintenance work cannot be shirked 
or evaded if he would maintain his own job. 

New Conception of the Foreman's Job 

The new science of employment management, having 
probed into the causes of labor instability, presents facts which 
are a formidable indictment of present methods of foreman 
control. A new conception of the foreman's job has arisen. 
A greater realization of the powers for good or evil which 
lie in the foremen's hands has made industrial leaders realize 
that the foreman of the future must be a manager of men 
before he can qualify for a permanent place in the organization 
of an industrial concern. 

The old type of foreman will soon be extinct. In the 
struggle for survival of the fit he will go down and his place 
will be taken by a man who respects men ; who will treat them 
as he himself wishes to be treated; who will realize that 
the "ignorant foreigner" has a soul, has ideals, and often has 
an education which would put those in a more fortunate place 
in industry to shame. The foreman of today knows that 
the worker is sensitive and rarely forgets insults and unjust 
rebukes; that the "unthinking masses" have produced many 
~>f the world's greatest men; that if through intelligent treat- 
ment the proper chord is struck within them, it will evoke 



82 



LABOR MAINTENANCE 



an energy and spirit which will go far towards steadying the 
plant's labor forces. 



The Stupid Foreman a Handicap 

"This is the day of democracies, the day of tolerations, of 
adjustments and readjustments/' says Charles M. Schwab. Self- 
respecting workers will not stand for arbitrary methods. Ex- 
amine the labor turnover reports of almost any plant and you 
will find the greatest number of terminations are made 
of the worker's own accord. The figures of a large new enter- 
prise, which in its methods is far ahead of other similar con- 
cerns, show the following percentages of voluntary resigna- 
tions of those whose services terminated during the months 
from May to September, 1918. 

May 43.1 per cent 

June 527 " " 

July 53-1 " " 

August 64.6 " " 

September 72.0 " " 

The conditions in an older concern during the period from 
October, 191 7 to May, 19 18, are even more startling. 



79.6% of those terminated left of their own accord 



In October 


79.6 


" November 


93-9 


" December 


90.6 


" January 


84.9 


" February 


747 


" March 


67.4 



The situation which is before industrial managers is not 
one of theory but of disturbing fact. It is obvious that those 
who terminate their employment voluntarily do so generally 
because of dissatisfaction. It may be wages, working condi- 
tions, poor housing accommodations, rough treatment by fore- 



BUILDING UP A PLANT SPIRIT 83 

men, or some other cause; but it needs no speculation to 
determine the foreman's part in this huge wastage. To the 
worker the foreman is not merely a representative of the 
company but the company itself. Thousands of dollars, there- 
fore, may be spent in the attempt to make employment attrac- 
tive, and results, so far as labor maintenance is concerned, 
may be nullified by the indifference, lack of co-operation, and 
stupidity of foremen. 

Recognizing these principles, progressive concerns are 
establishing training courses for foremen, and, like the Inter- 
national Harvester Company, are getting their foremen and 
executives together to impress upon them the importance of 
co-operation. At a notable meeting of nearly 600 foremen, 
department heads, and superintendents of the Harvester Com- 
pany early in 19 17, the first meeting of this kind ever held 
by the company, the following point, among others, was em- 
phasized : 

One thing must be driven out of every organization 
and that is the poison of fear, the element of coercion. Men 
should come to you and give you their confidence, because 
you deserve it, because they are your friends and look 
upon you as the right sort of a guide. I have been through 
some of the instructions personally given to captains of com- 
panies in the army. These describe the captain as a father 
of the company. The worst crime a captain can commit 
as father is to be unfair and abuse his authority in relation 
to his men. The privates are supposed to come to him with 
a*ll their hopes and ambitions, their woes. That is what 
he is captain for. He is supposed to show human qualities 
— he is the father of the company. 

The foreman is a sort of father of his department. The 
president and other executives «annot mix with all the men. 
You are the proxies of the men at the top. You are the 
men at the top so far as your own world in the shop is 
concerned. 1 



1 See Industrial Management for Tune, 1917: "Relation of Foremen to the 
Working Force," by Meyer Bloomfield. 



84 LABOR MAINTENANCE 

The Packard Motor Car Company pays a bonus to its 
foremen who have the best records of stability among their 
force. The company calls its plan "Labor Maintenance 
Efficiency." 

Reaching the Foreman — Labor Efficiency Bulletins 

A successful method of reaching its foremen is that devised 
by the author for the Lake Torpedo Boat Company, Bridge- 
port, Connecticut. A series of "Labor Efficiency Bulletins" 
was prepared and sent every week or so by the general man- 
ager to the foremen to acquaint them with some of the modern 
ideas of management and how they were working out at other 
plants. These bulletins were very cordially received and much 
thought and enthusiasm were stimulated by them. The fol- 
lowing is a typical bulletin: 

Foremen and the Plant Spirit 

Plant spirit is not a matter of spontaneous combustion. 
It is a thing of growth — sometimes slow, sometimes fast, 
sometimes good, sometimes bad. But it all has a common 
basis. It is the reflection of the spirit which pervades the 
management and this means you. 

Production is more a matter of men than machinery. One 
is the complement to the other. You are interested in getting 
fullest efficiency out of your men as well as your machines. 
You never rap a machine in anger if something is wrong 
with it, you try to mend it by using your mind. If you 
would make men fully efficient you must not only use your 
mind but you must get your men to use theirs. Man is a 
delicate machine. You can ruin it quickly. 

You must be the guiding spirit to your men. You must 
inspire them to do their best. If you want your men to have 
"pep" you must show them by your example. Enthusiasm 
is contagious. Your enthusiasm is the moving force of 
progress. 

If you lack enthusiasm, if you cannot appreciate the fact 



BUILDING UP A PLANT SPIRIT 85 

that your men are just as human as you are and want to 
be treated as you would expect to be treated, don't hope for 
any sort of wholesome plant spirit. 

Modern management realizes the importance of the fore- 
man and leading man in developing good-will. And good- 
will is an asset to you as well as to the company. Production 
records depend largely on the spirit in which your men work. 
If you want personal success the way is clear. Your men 
will do the boosting for you — and a satisfied worker is the 
best press agent possible. 

Get the good fellowship habit. Meet your men half-way. 
Help them in their activities. Give them a lift when they 
are discouraged. Forget personalities and go to your work 
with the spirit that has made Schwab, Carnegie, Edison, 
and the other leaders of industry produce miraculous re- 
sults. You can do it. Every man has the qualities of leader- 
ship. Plant spirit means leadership that gives every man a 
chance to express himself — to bring the best out of himself. 

You need no war to go out to win. Meet obstacles 
with a big spirit. Look at your job as a human problem. 
Study its weaknesses. Be a good mixer. Get your men 
enthused — let them help you solve your problems. Let every 
kick be a boost. Soon you will find yourself growing in power 
and that wonderful something, a fine plant spirit, beginning 
to assert itself. 



A Remarkable Record of Plant Spirit 

It is worthy of note here that during the summer of 191 7 
the company experienced a bitter strike; and when the men 
returned the management decided to adopt new methods. An 
employment and service department was established and close 
attention was given to the causes of instability of the working 
force. The great problem was how to build up the spirit of 
the plant. Working conditions were improved, discharges 
were carefully reviewed, a plant newspaper was started, and 
later a marine band was organized. Enthusiasm grew, and 
in ten months the rate of turnover fell from 294 to 70 per 



86 LABOR MAINTENANCE 

cent. But this was not all. The men wanted to show their 
spirit. One of them conceived the idea of having the entire 
plant celebrate Independence Day in some manner different 
from that of any other industrial plant. A committee of 
workers waited upon the general manager. They asked him 
whether he would agree to all workers putting in three hours 
of work on the nation's holiday without compensation so as 
to show Uncle Sam they were with him in beating the Hun. 
Astounded at this request, the manager said, "Go ahead and 
arrange it. I'm with you boys." And so on July 4, 1918, at 
7:00 a.m. promptly, 1,100 workers plunged into their task 
of building submarines and for three hours without break 
worked as they never worked before. Each hour was punc- 
tuated by a blast from the yard whistle. This only served to 
spur the men on. Each department tried to excel the other 
in production. Even the office force gave its quota towards 
this novel celebration with a voluntary attendance of 100 per 
cent. 

When the three hours were up there was flag raising 
and the workers left after cheering themselves hoarse. It so 
happened that plans for this demonstration developed so 
quickly that some of the copper-shop workers had already 
made personal engagements for this day and could not readily 
break them. They were not going to be slackers, so twenty- 
eight of them signed a petition to the company requesting 
it to deduct three hours' wages from their forthcoming pay 
and contribute this to some war charity. 

Not content with these manifestations of their loyalty to 
their country and to their employers the workers, a few weeks 
later, made a collection and bought a fully equipped ambulance 
which they presented to the Red Cross with a note reading: 
"To the Boys over there from the Boys over Here." 

Such is the essence of plant spirit. 



CHAPTER VII 

TRAINING THE WORKER 

Need of Industrial Training 

Wherever human skill is required in industry workers 
must be trained. Skilled labor is as essential to industry as 
its plant, machinery, and manufacturing material. Even with 
normal operating conditions skilled labor must be continually 
supplied to replace the continual normal loss through regular 
causes. With unusual or emergency conditions, which might 
arise through an exceptional demand for the product manu- 
factured, the supply of competent labor becomes of first 
importance. Indeed, unless the present operations of skilled 
labor can be replaced by some other means, such as highly 
developed machinery and other physical apparatus, and 
through greatly extended specialization, systematic training of 
labor is imperative if the flow of skill is to be maintained. 

Benefits of Training — Efficiency 

The benefits of such training, particularly of direct train- 
ing on the job, are very great. It brings increased skill in 
the ability to do the operations of the job itself, which affects 
both the quality and quantity of the product. It increases, 
moreover, the general job intelligence of the worker, not only 
in connection with his own job, but in the relation of his 
work to that of others involved in production. In skilled 
trades much is required of the worker in the way of judgment 
and decision. Training improves ability to judge conditions 
correctly, make proper decisions, and handle any particular 

87 



88 LABOR MAINTENANCE 

job accordingly. Training also teaches time-saving methods 
in handling, calculating, laying out, and operation. 

Progressive concerns value most highly those men who 
have received training within their own plants, and who, 
having grown up "within the family," know the methods and 
standards of the company. This knowledge may result in 
real economic value where method and standard are con- 
sidered in skilled operations. Correct training teaches how 
to minimize waste: how to conserve material and save time 
through the best methods of procedure. 

Aims of Training 

Now the subject of industrial training is one that can 
be dealt with either in a narrow or in a broad spirit. Its 
purposes call for special definition in the light of what 
particular ends are to be gained. The whole subject calls 
for analysis in terms of industrial needs peculiar to each 
organization. 

Within the various trades, the craftsman, and the semi- 
skilled worker must be distinguished both from those who 
fill the supervisory position, and from the so-called unskilled 
workers. Relative to the unskilled worker, a training plan 
will concern itself chiefly with the development of good indus- 
trial habits, steadiness, regularity, and information as to the 
policies of the management. The next step in such a program 
is to provide, wherever feasible, the training needed for 
promotion out of the unskilled class to a higher grade of 
work. In other words, a large element in the training program 
is the appeal to ambition, to standards of excellence both 
within the job and in the jobs to which it may lead. 

One of the great needs of the workmen of today is 
adaptability to change. Progressive organizations all show 
steady transformation in details of technique as well as in 
the larger phases of operation. The unconscious resistance 



TRAINING THE WORKER 89 

which a mass of workers can offer to any innovation is as 
serious a hindrance as the opposition of outright hostility. 
One reason for such a situation is the absence of training 
provisions that prepare the minds of the workers for progres- 
sive developments in the organization. Change of the work- 
ing force is often a last desperate resort for dealing with 
a stagnant personnel. But this is a drastic procedure, very 
costly, and wasteful. An easier and more satisfactory method 
is to anticipate changes by continual encouragement of the 
workers to keep alive to the demands of progress. Capacity 
to conform to innovation comes chiefly through education. 

History of Trade Education 

The oldest type of education in the world is trade educa- 
tion. The other kinds of training we are familiar with came 
much later. From the very beginning of organized occupa- 
tions there has been a recognition of the need for some kind 
of regular instruction for those who were to be engaged in 
them. 

During the "golden" days of the apprenticeship system in 
the Middle Ages, the training for a trade reached its height. 
There were many faults in that system as it was carried on; 
but it was the last word in that type of training — the boy 
who went through its rigorous program became a real crafts- 
man, a master workman, ready to hold his own with anyone. 
It required seven solid years under stern discipline to complete 
the program, and at the end of that time leaders of the craft 
to which the apprentice had been bound gave him an exhaustive 
practical test. If the boy passed and could be otherwise recom- 
mended, he took his place with the elect in his own particular 
trade. 

And the master workman of those apprenticeship days was 
something of a personage. He enjoyed certain privileges 
which the untrained were debarred from, such privilege, for 



90 LABOR MAINTENANCE 

example, as freedom to change his habitation. Others less 
fortunate were tied to their localities. 

The Decline of Trade Education 

For something like three centuries this system flourished, 
and then began to disappear. The factory era began late in 
the eighteenth century and modern industry gave the history 
of man a new turn. For something like three generations, 
all during the period of marvelous industrial growth, appren- 
ticeship, and with it trade training generally, was a thing 
of the dim past. Small shops grew to big ones, industries 
combined into huge aggregations, and millions of new workers 
in shops, mines, and mills came into industrial employment. 
But training was not a subject that concerned them or their 
employers. Long hours and arduous labor were regarded 
as the essentials of satisfactory production. Not until our 
own generation, in fact, was there an awakening to what 
training could do, and how superior it was to mere physical 
power. 

The Revival of Trade Education 

We have entered now a period when trained intelligence 
has been discovered to be a bigger factor than had been realized 
before in the traditional type of management. Public taste 
has become educated to a higher grade of workmanship, com- 
petition has forced changes in methods, and a gearing to the 
pace set by the most enterprising. Moreover, all sorts of 
outside forces have begun to act on the ideas and the attitude 
of the working force. Far-seeing managers have demon- 
strated that cheap, untrained labor is oftentimes a liability 
instead of an asset. The favors of the market have been won 
by those who have been forehanded in estimating the change 
that has come over both the consuming and the producing popu- 
lation. 



TRAINING THE WORKER 91 

Industrial education today is one of the great public enter- 
prises of our common system of education; it is one of the 
big features of the modern plant. The literature on the 
subject makes a fair-sized library by itself, and the number 
of specialists in the field is legion. Trained intelligence is 
industrial wealth; the force of one skilled brain outclasses 
that of mere numbers without specialized fitness for the work 
in hand. The present era therefore may well be called the 
era of trained hands and brain. The future belongs to those 
who build on a foundation of trained personnel. 

Aim of the New Trade Education 

All this may sound obvious, and too self-evident to need 
emphasis. But emphasis is needed, and though assent to 
training is universal, there is yet a vast deal to be done. We 
are only at the beginning of the greatest industrial training 
projects in the history of the world. The old apprenticeship 
system reached but a few. The new training movements of 
our own and other countries aim to include in time every 
worker in every employment. 

Industrial managers have been the pioneers in the modern 
movement of trade instruction. They have had to overcome 
the opposition of their fellow-managers, the hostility of educa- 
tors who ridiculed the idea of associating education with 
manual work, and not seldom the resistance of the rank and 
file, who looked upon the training department as a threat to 
their own security. 

All that is now past. The last decade has seen a larger 
advance in this field than in the one hundred years that have 
gone before. The story of what various industrial and other 
establishments are doing today for the training of their em- 
ployees is long and interesting as is the story of what govern- 
ment, public, and semipublic agencies are doing in a similar 
direction. 



92 LABOR MAINTENANCE 

Training for Every Worker 

Out of the mass of material, and out of the abundant 
experience available, several important guiding principles 
emerge, and these must be carefully regarded in every training 
program. 

First, it is good economy to provide, wherever possible, 
a course for every new employee in the methods, policies, 
and peculiar production problems of the concern. Whatever 
work an employee is given, the actual beginning of his service 
should be preceded by a period of preparation, even if it 
consists of but one or two lectures explaining the system in 
vogue. Old as well as new employees are in need of this 
initiation. It is a mistake to plunge a beginner immediately 
into the details of his particular task without giving him the 
benefit of a general survey of the establishment and of the 
industry of which he is to be a part. Good organization 
requires a preliminary insight into the new environment, as 
it were, and a careful explanation of its meaning. No specific 
training work should be begun before this work has been 
done. 

Every industry has its romance, and every organization 
has a tradition that should be reviewed anew for the benefit 
of every newcomer. This is an indispensable part of what 
may be called assimilation. The United States Rubber Com- 
pany, for instance, begins the training of employees with talks 
on the romance of the rubber industry, and how the com- 
pany's huge enterprise has grown. A background such as 
this gives the specialized workers an entirely new grasp and 
attitude as regards their work and associations. 

Industry today confronts a new set of conditions. Noth- 
ing, of course, can take the place of individual initiative and 
persistence ; men of exceptional merit will rise from the ranks 
no matter where they start. But it is folly to rely altogether 
on such a source of supply. A few exceptional men cannot 



TRAINING THE WORKER 93 

take the place of a personnel trained in its entirety. Trained 
men are not available in sufficient numbers today to meet 
the demands of expanded industry. There is a competition 
of working forces as well as of goods and of management. 

Every present-day industry that wishes not to surpass its 
competitors only, but merely to keep abreast of them, must 
enforce its enterprise with a program of training which will 
reach every element concerned with its product. 

The next few years will prove decisive for executives who 
are foresighted. The proper balance between the quality and 
the quantity of output is what industrial leaders look to, and 
these results hinge in part on the character of the training 
that is available to the worker. One of the world's leading 
economists, Professor Alfred Marshall of England, has 
said: 

To be able to bear in mind many things at a time, to 
have everything ready when wanted, to act promptly and 
show resource when anything goes wrong, to accommodate 
oneself quickly to changes in details of the work done, to 
be steady and trustworthy, to have always a reserve of force 
which will come out in emergency, these are the qualities 
which make a great industrial people. 

It is true that there are many kinds of work which can 
be done as efficiently by an uneducated as by an educated 
workman, and that the higher branches of education are of 
little direct use except to employers and foremen and a 
comparatively small number of artisans. But a good educa- 
tion confers great indirect benefits even on the ordinary 
workman. It stimulates his mental activity; it fosters in 
him a habit of wise inquisitiveness ; it makes him more 
intelligent, more ready, more trustworthy in his ordinary 
work; it raises the tone of his life in working hours and out 
of working hours; it is thus an important means towards 
the production of material wealth ; at the same time that, 
regarded as an end in itself, it is inferior to none of those 
which the production of material wealth can be made to 
subserve. 



94 LABOR MAINTENANCE 

Advantages — Better Relations 

That it is much more satisfactory to deal with intelligent 
and well-trained employees than with the illiterate and the 
poorly trained, is a truism but unfortunately it is a truism 
that has not yet received universal credence. The trained 
employee can more readily and better understand and execute 
orders. He is more responsible in his work and in dealing with 
the company. He can usually see the employer's problem 
as well as his own if he has been in this business for some 
time. He is a real industrial asset. 

Training should assist in increasing the interest of an 
employee in his work and his company. Through a better 
knowledge of his duties, responsibilities, and opportunities, 
he is better able to adapt himself to conditions and appreciate 
his relation to the rest of the organization. His decisions 
should be the wiser, as the result of his expanded outlook 
developed through properly systematized training. 

Advantages — Reduction of Labor Turnover 

An expense is involved not only in the employment and 
assignment process, but in adapting the new employee to his 
work and to the organization. Where proper training methods 
exist, the adaptation of the new worker to his job and to 
the organization is facilitated and the waste of placement is 
greatly reduced. The experience of concerns where the prob- 
lem has been studied convinces that a large part of the dis- 
satisfaction with their jobs and consequent termination of 
work by employees, may be traced to unsound methods of 
fitting them into the organization. 

Industrial training assists in reducing turnover through 
making possible the employment of a better grade of worker, 
through a logical and systematic development of the worker's 
capacities, and careful placement in accordance with his 
adaptability, temperament, and other qualities. It assists in 



TRAINING THE WORKER 95 

developing a "content of labor," a prime factor in reducing 
turnover. 

Job Adjustment — Survey 

In this connection, one of the first steps to be taken, when 
a training department or project is installed is a careful job 
survey 1 — indeed, a general plant survey from the point of 
view of employment. 

A good outline for such analysis is the following, devised 
by Henry C. Link of the United States Rubber Company: 



Name of job 

Physical characteristics of job: 

1. Machine Number of 

2. Handwork 

3. Heavy light medium 

4. Lifting hauling climbing standing 

sitting walking 

5. Clean dirty hot cold 

6. Kind of eyesight required 

Mental characteristics : 

1 . Educational 

2. Prerequisite experience 

3. Ability in English: Read write spell 

talk 

4. Ability in mathematics: Copy figures add 

subtract multiply divide deci- 
mals 

Miscellaneous : 

1. Earnings 

a. Day-work maximum minimum 

average 

b. Piece-work. .". maximum minimum 

average 

2. Hours 

3. Possibilities of promotion 



1 For a full discussion of job surveys and analyses, see "Employment Methods," 
by N. W. Shefferman, published by the Ronald Press Company, 1920. 



96 LABOR MAINTENANCE 

4. Time required to break in new man 

5. A brief statement of any other essential features of the 

job 



The "Job Adjuster" 

Where large numbers are employed it is obviously difficult 
to insure that every new employee is properly placed. Suc- 
cessful experiments have been made in large plants with what 
may be called "job adjusters" — notably at the Fore River 
plant of the Bethlehem Shipbuilding Corporation and at the 
Chester plant of the Merchant Shipbuilding Company. The 
plan of having one or more men devote their entire time to 
problems of adjusting workers to their jobs, and so far as 
possible making a corresponding adjustment of the job to the 
worker, has brought highly satisfactory results. The loss of 
capable workers has been noticeably reduced, productive effi- 
ciency increased, and dissatisfaction cleared up. 

Foremen in a busy plant are too much occupied to spend 
much time on the individual problems of their men at work. 
The easiest way is to "get rid of the fellow" if he fails to 
show fitness for his job. But where there is a job adjuster 
the employee is turned over to him for treatment. This 
official, a man of tact and sympathy, and possessed of a good 
working knowledge of the jobs in the plant and their require- 
ments, looks into the case and finds out where the difficulty 
lies. If the worker's previous experience is good and his 
present capacity sound, but a mistake has been made in placing 
him in the wrong kind of work, the adjuster will arrange for 
a transfer to another job. If the man merely needs some 
assistance in learning his new work the "adjuster" will see 
that proper instruction is given him. 

It is the business of the job adjuster to act as the right 
hand of the foreman and the employment manager. He is 



TRAINING THE WORKER 97 

often in a position to discover friction spots in the organization 
the moment they appear, and is thus able to prevent misunder- 
standings that might cost much in time, money, and good- 
will. 

A Concrete Example of the Value of a Job Adjuster 

A large western plant employing 18,000 workers was hav- 
ing considerable difficulty in retaining its force, and decided 
to establish the position of job adjuster as part of its program 
of bringing its employment department in line with modern 
ideas. Two men were employed as adjusters and a notice was cir- 
culated throughout the plant, not announcing the appointment of 
these men, but stating that any employee who had back pay due 
him or who found some mistake in the amount of wages 

in his envelope, should see Mr , Adjuster. 

It so happened that at this time the government made an award 
increasing the wages of the men in this plant and giving 
them the right to retroactive pay. Owing to the pressure of 
the work and the administrative difficulties involved, the pay 
was somewhat slow in distribution and considerable discon- 
tent manifested itself. When the men saw this notice they 
said to themselves, "Well! here's a fellow who is going to 
help us get our money and save our time" ; and to him they 
flocked in large numbers. When they found, through contact, 
that the adjusters were not merely pay agents but were con- 
cerning themselves with all the work problems of the men, 
they began to "root" for the idea. Soon after, another notice 
was handed to each man reading, "If you think of quitting 

or changing your job get in touch with Mr , 

Adjuster. The foremen then saw the advantages of the job 
adjuster who saved for them the time ordinarily used in 
interviewing men who wanted to change jobs, and they refused 
to sign a man's termination slip until he had been to the job 
adjuster. 



9$ LABOR MAINTENANCE 

A remarkable result followed. In six months the labor 
turnover was considerably reduced. The company, foremen, 
and workers are enthusiastic about the plan because it has 
helped develop a plant spirit that is the envy of less progres- 
sive concerns. 

Apprentice Schools as Selective Media 

Some organizations value the selective possibility provided 
by their training systems quite as highly as the direct training 
given. The Pennsylvania Railroad Company, which main- 
tains a system of trade apprentice schools described in detail 
later in this chapter, relies on its schools as selective media. 
Through these schools the special aptitude of the apprentice 
is discovered as well as his relative abilities. (For form of 
apprenticeship agreement, see Appendix E.) 

The apprentice records in school and shop are used as 
the basis of selection of those to be given, first, positions of 
minor responsibility, and later, higher executive duties. This 
company is a fair example of the policy of developing officials 
from within the ranks, through considerable periods of train- 
ing and experience in the several positions of advancement. 
The result of its policy has been the development of one of 
the most efficient organizations in the world. It offers a 
worthy example for other organizations. The provision of 
"a way out" to positions of responsibility for those whose 
initiative, energy, inherent ability, and hard work are bound 
to manifest themselves and to grow, is an important asset of 
organization assisted by training, and is a large contributing 
factor towards economic success. 

Increased Training Means Increased Production 

The increase in operating efficiency through the agencies 
cited as the product of training, means an increase in profits. 
Some of the savings and advantages given as a result of 



TRAINING THE WORKER 99 

training are indirect and somewhat intangible, but important 
nevertheless; others are direct and bear tangibly on operating 
conditions. In this connection it may be noted that reports 
have been obtained from 200 manufacturers who have given 
training a long and severe test. Of these 90 per cent state 
that their training departments are definitely profitable and 
all the others class them as an asset. 

Kinds of Industrial Training 

The kinds of industrial training which have had the largest 
development may be classified as: 

1. Mechanical trade training by means of day-time and 

evening instruction. 

2. Office training. 

3. Emergency training, which assumed great importance 

during the period of the war. 

4. Special training, such as is given in classes organized 

to provide short, intensive courses for special 
development or educational needs. 

Mechanical Trade Training 

Mechanical trade training includes not only the day train- 
ing systems operated by corporations themselves, but also 
those operated in conjunction with local educational facilities. 
These are exemplified by the co-operative training systems 
established at Fitchburg, Massachusetts, between the repre- 
sentative manufacturing companies and the local high school, 
and at Cincinnati, Ohio. According to this plan the students 
alternate weekly or bi-weekly between shop and school, and 
through combined shop experience and school training develop 
into efficient employees. These systems have been highly com- 
mended by employers and school authorities, and are worthy 
of consideration by those desiring to establish training. The 



100 LABOR MAINTENANCE 

Simonds Manufacturing Company, Fitchburg, Massachusetts, 
among others, is following out this training plan with 
success. 

Many companies have benefited through classes conducted 
within their plants by state or university extension depart- 
ments, such as are operated in Massachusetts under the state 
board of education, and in Wisconsin, Iowa, Chicago, Texas, 
and California, under the state university, or the privately 
endowed university. . 

Supplementary training of industrial workers is furnished 
also by correspondence schools, both those privately operated 
and those under state or university supervision. 

Office Training 

Office training schools for both day and evening instruction 
are operated by corporations under their entire control, or in 
co-operation with public or other outside educational agencies. 
Instruction by correspondence is also a factor to be considered 
in the training of office employees. 

Emergency Training 

Emergency training under pressure of war conditions 
assumed great importance in securing and maintaining an 
adequate labor supply. This training applied particularly to 
war industries, such as munition factories and shipbuilding 
plants. The training of shipbuilders was carried on under the 
supervision of the Emergency Fleet Corporation. The 
methods of training for instructors and men in the several 
skilled trades followed plans arranged in detail and supervised 
by the Emergency Fleet Corporation. The following chapter 
describes the training system which was used by the Merchant 
Shipbuilding Corporation at their Chester plant and carried 
out under the above-mentioned plan. 



TRAINING THE WORKER I QI 

Determination of Method 

Methods of training the worker will depend to a large 
extent upon instructors — their mental and physical char- 
acteristics and temperament, their education, and their ex- 
perience. An instructor's knowledge of the psychology and 
pedagogy of the particular trade to be taught aids greatly. 
In addition to the influence of the instructor, physical equip- 
ment for training, as well as instruction material — lesson 
sheets, blue-prints, etc. — bear an important part. Methods of 
training involve also details of correlation of shop, school, 
and class. 

Instructors 

For success, an instructor should have a reasonably good 
physical bearing and personality. He should also be mentally 
alert, able to grasp quickly the details of a situation and direct 
his instruction along logical lines in connection with his train- 
ing problem as a whole. He should preferably have a wide 
experience in the trade or subject he is teaching. The tendency 
at the present time is not so much to take a man of higher 
technical training, or a pedagogue, and teach him the trade 
requirements, as it is to take a common mechanic and give 
him "the teaching trade." In any case, the broader the general 
intelligence, and the industrial and training experience of the 
instructor, the more likely he is to adapt himself to general 
conditions, and the better he will be able to handle himself 
and his work properly in an emergency. He should be able 
to inspire his pupils, to keep up their enthusiasm for the work 
in hand, and to direct them kindly but firmly. 

A knowledge of psychology is important to the well- 
equipped instructor. Each student is a mental and physical 
unit to be carefully considered. The instructor should be 
familiar with the laws of interest, attention, memory, reason- 
ing, habit, and the other phases of mental life. It would be 



102 LABOR MAINTENANCE 

well for him to read carefully such books as William James's 
"Psychology, Briefer Course" ; Frank Cramer's "Talks to 
Students on the Art of Study"; and Dearborn's "How to 
Study." 

Industrial training should always proceed, however, from 
the concrete to the abstract. It should find its beginnings 
always through specific problems arising in the daily work. 
Generalization should come as a later step. 

Physical Equipment 

The physical equipment should be the regular equipment 
of the particular trade, and should be handled under actual 
operating conditions. Industrial training in any particular 
trade is best taught right on the job on actual production 
work; the proper atmosphere so essential to effective indus- 
trial training can be gained in no other way. 

Training classes or groups should be small enough to 
allow of individual instruction. This is necessary on account 
of the varying degrees of experience, preparation, ability, 
adaptability, and temperament of learners. All industrial 
training should be conducted informally and in such a way 
as to secure confidence, and to encourage and develop pride 
and interest in work. 

Special problem or instruction sheets may be prepared 
as aids in "putting over" the mathematics or mechanics in- 
volved in the trade, together with shop sketching or blue- 
print reading required. These are essential in many branches 
of industrial training and represent the practice of progressive 
employers. 

Correlation of Shop and School 

In organizing industrial training of any kind, the condi- 
tions of the particular industry or trade or department should 
be carefully studied and the training program arranged in 



TRAINING THE WORKER 103 

accordance with the particular needs. Sometimes a training 
plan is formulated with insufficient co-operation and co-ordina- 
tion with the operating and production heads. Such plans 
have doubtful possibilities. It is unsatisfactory to make an 
educational suit of clothes and try to fit it to a production 
requirement. The logical plan is to begin from the inside 
and work outward. 

In order to make this training completely effective, there 
must be hearty co-operation from the foremen. Some in- 
structors have had the experience of frequently seeing their 
best boys leave the plant to work elsewhere because of higher 
wages or the jealousy of foremen who feared the "rising 
generation" of young men. When the boy is ready for the 
job, the job should be ready for the boy. Foremen and super- 
intendents must be educated to see this. 2 



* For an exhaustive discussion of training, see R. W. Kelly's "Training Industrial 
Workers,'' Ronald Press Company, 1020. 



CHAPTER VIII 

SOME TRAINING SYSTEMS 

Wide Variety 

Provisions for training worked out by large American 
concerns are often very complete, but they differ considerably 
in details according to local conditions, and according to the 
special nature of the business. Some idea of the character 
and scope of such educational work may be gained from an 
examination of a few specific training systems. 

The Pennsylvania Railroad Company 

The Pennsylvania Railroad Company maintains a system 
of shop trade apprenticeship in which apprentices receive in- 
struction both in shop and school. The course is of four years' 
duration for most of the trades. 

Apprentices work under the supervision of an instructor 
in the several shop departments in accordance with a definite 
schedule. The work begins with the erecting shop, and the 
entire course requires four years to complete. 

The school instruction, as outlined, covers three years of 
42 weeks each. During the fourth year the apprentice does 
not attend the school but may be assigned to special duty work 
which will give him training in a particular line. Each appren- 
tice receives four hours of instruction per week in periods 
of two hours each. These periods are separated by a number 
of days in order that the students may have enough study time 
to prepare the lessons assigned. The apprentices are paid at 
the regular rate for the time they put in at the school but 

104 



SOME TRAINING SYSTEMS 105 

their evening study is done on their own time. They are 
grouped in sections or classes of from 15 to 20, so graded 
as to provide considerable flexibility for giving the individual 
apprentice the kind of instruction he needs in order to develop 
his latent possibilities. 

The subjects consist mainly of mathematics and mechanical 
drawing taught in a severely practical way and applied to 
trade requirements. Such parts of the various branches of 
mathematics are given as apply to problems met in trade work. 
The work in mechanical drawing consists of sketching and 
drawing machine parts, tracing, blue-printing, and the reading 
of blue-prints. In addition to mathematics and drawing as 
much of English and elementary drawing is included in the 
curriculum as is warranted in schools whose primary object 
is specific trade education. Texts are prepared by the school 
instructors in loose-leaf mimeograph or blue-print form. 
Practically no formal text-books are used except for reference 
purposes. The apprentices are led on gradually from the 
simple to the more difficult problems, and are taught to 
visualize their instruction and receive it in terms of their shop 
environment. The purpose is to teach the direct practical 
use of principles involved, to develop methods of neatness 
and accuracy in work, and to foster the sense of duty anG 
responsibility. 

Monthly and annual reports of the instruction and records 
of the individual apprentices are submitted by the supervisor. 
They form a fairly complete record of the aptitude and ability 
of each apprentice and, when taken in connection with a similar 
system of reports from the shop foremen, form a valuable 
body of data in selecting apprentices for the various services 
of the company. The instruction offered in the company 
schools is broad enough to give the apprentice the basis of an 
education, and to assist him in becoming, not only a better 
mechanic, but a good citizen. 



106 LABOR MAINTENANCE 

The Brown and Sharpe Plan — Objects 

An excellent training system is that used by the Brown 
and Sharpe Manufacturing Company of Providence, Rhode 
Island, during peace times. Under war conditions they estab- 
lished a training department for ' 'breaking in" new help in 
short periods. Under the war conditions, of course, the train- 
ing was highly specialized, but the regular apprentice training 
is designed to be all-round. 

With this company great emphasis is placed on training 
for the machinist's trade, since that is the principal trade 
involved in their business. Apprentices are also trained in 
drafting, pattern-making, moulding, core-making, and black- 
smithing. 

The company's main object, however, is to train appren- 
ticeship, not only thoroughly competent mechanics, but men 
who may be developed for positions of minor responsibility 
in the management. 

School Work 

In order to give the apprentice the proper experience in 
his trade, he is transferred from one department to another, 
learning each part of the work in the department where it is 
done. The apprentices start with the simpler operations and 
are gradually advanced to those requiring greater skill. There 
is also some training along lines of special character. Train- 
ing on production work'is given in the regular shops. In this 
way the learners have the opportunity to profit from observa- 
tion of work going on around them, as well as from that 
which they do themselves. 

With most of the trades that are taught, school work 
is also given in order that the development of the brain of 
the worker may keep pace with the increase in mechanical 
skill. The school conducted by this company provides instruc- 
tion in machine-shop mathematics, in making working draw- 



SOME TRAINING SYSTEMS 107 

ings, and in planning and designing tool equipments. Instruc- 
tion is given without the use of text-books and the student 
is not required to learn rules and formulae. Problems that 
actually arise in the shop are presented in regular sequence 
as to subject and difficulty. The apprentices are also taught 
the principles of algebra, geometry, and trigonometry as they 
apply to the practical problems of the shop. 

The machinist apprentices devote two hours per week to 
school work for the first two years of their apprenticeship, 
and four hours per week during the last two years. Pay 
at regular rates is given for their time spent in school. 

The apprentice course is in charge of a supervisor of 
apprentices, who, with an assistant, serves as instructor in the 
school and also supervises the work of the apprentices in 
the shop, though in no way does he relieve the foremen of 
responsibility. In addition, the instructor takes a general inter- 
est in the boy's welfare both inside and outside of the works. 

Requirements for Apprenticeship 

To be eligible for apprenticeship a boy must not be less 
than 1 6, nor more than 18 years of age, must have a 
common school education, and be physically fit. Only boys 
of good habits whose senses are unimpaired are accepted. 
A preliminary examination in elementary arithmetic is 
ordinarily required. 

The term of apprenticeship is four years. The first twelve 
weeks of work constitute a trial period. At the successful 
completion of an apprenticeship, a boy is paid the sum of 
$150. While serving his time the boy works mostly on a day 
rate, but during part of his apprenticeship he may do work 
at piecework rates and so substantially increase his earnings. 

The work of the Brown and Sharpe Company is repre- 
sentative of apprentice training practice especially for machin- 
ists. Readers who are particularly interested in this phase 



108 LABOR MAINTENANCE 

of industrial training will do well to secure a copy of the 
bulletin, Apprenticeship, published by this company. 

The Cincinnati Milling Machine Company 

The Cincinnati Milling Machine Company has a well- 
organized apprenticeship system, offering two courses to boys 
on the co-operative plan mentioned in Chapter VII. Course 
No. i is for boys who have gone through the first two years 
of high school co-operative work. In the third year they 
become employees of the company and divide their time in 
alternate two-week periods between the school and the shop. 
After this their work is continuously in the shop except that 
for a year or more they have one-half day a week at school 
on advanced courses. 

Boys are selected for the course on the basis of natural 
mechanical aptitude, good health and habits, and the willing- 
ness of their parents to co-operate. They receive regular pay 
for time spent at school, and those who complete the course 
receive $100 bonus. A set of tools costing about $35, which 
is later deducted from the bonus, is given to each boy at the 
time he enters on the course. 

A notable point of the plan is the provision that if a 
boy desires to enter the Co-operative Engineering Course of 
the University of Cincinnati upon his graduation from high 
school he may complete his apprentice course by alternating 
in two-week periods between the university and the shop for 
the first two years of the university course. During the 
remaining three years of the university course he is given 
an opportunity to spend his shop periods in the engineering 
departments of the company. 

If a boy cannot afford to go through high school and 
take Course No. 1 he may enter Course No. 2 consisting of 
two years' work in some special branch of a trade with a 
bonus of $50 when the course is completed. Special arrange- 



SOME TRAINING SYSTEMS 109 

ments for a complete shop course are made with boys who 
take Course No. 2 and who attend night school to round out 
their general education, if they evidence a desire for further 
technical training. 

The Simonds Manufacturing Company 

The Simonds Manufacturing Company, Fitchburg, Massa- 
chusetts, has an educational department based upon sound 
principles. Its aim is "to open to the employees of all grades, 
new possibilities within themselves and in their work and 
to develop the idea that no one is to work without motive." 
The courses take up the history of saws, the mystery of steel, 
the operations of saw-making, the uses made of saws in mills, 
shop, and factories, and other matters which stimulate in- 
terest in the company's product. Experts from all departments 
assist in giving the courses and often outside specialists are 
brought in. Students prepare papers and talks. 

Among the subjects taught are advertising — especially as 
related to the company's products — business, including man- 
agement, organization, accounting, banking, selling, and letter- 
writing. The latter is intended for stenographers and those 
who dictate letters. There are also courses in modern methods 
of management, designed especially for foremen. 

Department heads, clerks, and workmen take these courses 
together. Office men by permission may take shop courses 
and similarly men from the shop may take the office courses. 

The Larkin Company 

An interesting method of encouraging employees to im- 
prove themselves is used by the Larkin Company of Buffalo. 
An employee who has been with the company six months or 
more and wishes to attend public classes of instruction in any 
educational subject at the expense of the company may, after 
his application is approved, attend such instruction and be 



HO LABOR MAINTENANCE 

reimbursed provided he attains a standing of 75 per cent in 
scholarship and 90 per cent in attendance. 

Goodyear Tire and Rubber Company — Special Devices 

The educational activity of the Goodyear Tire and Rubber 
Company is varied and extensive. In 191 1 the technical men 
of the factory organized what is called the "Technical 
Society/' whose purpose is self -education through evening 
lectures and talks. In 191 5 the scope of this society was 
broadened and all employees were welcomed to membership. 
Talks are given on aeronautics, mechanics, the chemistry of 
rubber manufacture, as well as on shop practice. 

Another means of training, somewhat . similar in nature 
is offered by the Efficiency Club, made up of department heads, 
office men, and others who meet fortnightly to study com- 
mercial and manufacturing methods. Discussions and debates 
make the meetings interesting. 

The most striking feature of the educational policy of 
the company has been the development of two organizations 
of picked men, trained in all plant operations, and known as 
the "Production Squadron" and the "Engineering Squadron." 
When it is found that the production of a certain department 
is falling off, these men are put into it to build it up. Their 
all-round training makes them specially valuable. About 1,000 
of these men are now available. A "production squadron" 
consists of about 50 men; an "engineering squadron" is some- 
what smaller. 

The Factory School 

The factory school was established to provide instruction 
to the squadron organizations and other special groups. In 
1916 the school was opened to all Goodyear employees. There 
are now II classrooms located on the top floor of one of the: 



SOME TRAINING SYSTEMS HI 

buildings, in which n full-time instructors conduct 144 classes 
per week. To take care of all shifts, the hours of the school 
are from 6:30 a.m. to 10:30 p.m. Included in the membership 
of the school, for instance, are a number of foremen who wish 
to better their education. 

Each course consists of 40 lessons. The subjects taught are 
as follows: 

1. For production squadrons. Business English, arith- 

metic, rubber manufacturing practice, economics, 
organization and management. 

2. For engineering squadrons. Shop mathematics, ele- 

mentary mechanical drawing, advanced mechanical 
drawing, elementary principles of mechanics, ad- 
vanced mathematics, modern business methods. 

Other subjects taught are, business English, arithmetic, 
civil government, modern business methods, commercial 
geography, American history, Spanish, public speaking, busi- 
ness law, and corporation finance. An unusual feature is the 
provision of courses for mutes. Business English and arith- 
metic are the main subjects taught. New subjects are added 
as occasion demands. 

In addition to this extensive work for its own employees, 
the company offers a three months' factory course to graduate 
engineers and gives them an opportunity to obtain practical 
experience in each of the departments of the factory. 

The Western Electric Company 

Another successful training system is that of the Western 
Electric Company at Hawthorne, Illinois. Their training 
activities include schools for typists and comptometer opera- 
tors, educational courses for manufacturing apprentices, and, 
in addition, courses for college graduates. The company 
sends representatives to colleges throughout the country, to 



112 LABOR MAINTENANCE 

meet the men before graduation and explain to them the 
opportunities for employment with the company. When satis- 
factory arrangements are made the men are assigned to one 
of three courses — manufacturing, engineering, or commercial, 
each of which runs for a period of 49 weeks and includes 
lectures and practice. 

The work of the manufacturing department is very com- 
prehensive and offers a wide field of specialized training. 
Opportunity is afforded for work concerned with : 

1. Scientific study of raw material. 

2. Standardization of methods and equipment. 

3. Preparation of detailed working drawings. 

4. Planning and laying out buildings. 

5. Selection of proper stocks. 

6. Maintenance of standards of workmanship. 

7. Determination of piecework prices. 

8. Efficient handling of material. 

9. Determination of manufacturing costs. 

10. Supervision of workmen. 

11. Supervision of employees engaged in installing equip- 

ment throughout the country. 

The engineering department is constantly studying new 
methods of improved communication by electricity and the 
problems involved. As the work of this department is to a 
large extent taken up with research it cannot be easily out- 
lined. But the work is none the less important and affords 
opportunity for continuation of the work covered by the 
college course. 

The work of the commercial department has to do with 
warehousing, purchasing, accounting, selling, distributing, and 
financing. In conjunction with each of these main divisions 
of activity, many specialized but less comprehensive subjects 
are studied. 



SOME TRAINING SYSTEMS 1 13 

Evening courses are also provided for employees, and are 
supervised by an educational committee of a social and educa- 
tional organization of employees known as the Hawthorne 
Club. The company furnishes the equipment and facilities 
for instruction and shares the expense of administration with 
the club. 

The following courses consisting of 12 lessons each are 
given : 

Electricity and magnetism. 
Telephone practice. 
Practical mathematics. 
Manufacturing principles. 
Mechanical drawing. 
English. 

Principles of mechanics. 
Typewriting. 
Production principles. 
First aid. 

'The work in them is planned to give each member who 
enrolls those things he wants and needs, but which he finds 
it impossible for one reason or another to secure elsewhere." 
The classes meet once a week from 5:45 to 7:15 p.m. 

A works training department gives a four-year apprentice 
training in machine trades to boys between the ages of 17 
and 20 who have had the equivalent of a grammar school 
education. Boys who show natural aptitude for mechanical 
work or who have had good schooling are selected on the basis 
of competitive entrance examinations. Four hours of each 
week are spent in classroom study by the apprentices, and 
the remaining time is devoted to mechanical work in the works 
training division or in operating departments. The course 
of study covers shop mathematics and mechanical drawing, 
lathe and screw machine-work, benchwork, milling and grind- 



TI 4 LABOR MAINTENANCE 

ing, automatic screw machine-work and handscrew machine- 
work. 

Foremen's clerks are given clerical instruction in a special 
section which meets three hours weekly. All who receive 
training are paid by the company. 

Special schools are maintained for women employees who 
wish to become typists, stenographers, or comptometer 
operators. 

The Packard Motor Car Company 

At the Packard Motor Car Company, Detroit, until re- 
cently, employees were trained in the shop under the most 
competent foremen, but the disadvantages were many. In- 
struction by foremen was found to be costly; it reduced the 
productivity of the departments where such instruction was 
given and resulted in much waste of material. And when the 
employee was ready for a regular production, he knew only 
the process in which he was trained. To meet the need for 
more fundamental training a special school was established. 

As soon as one applies for admission to the school he 
is interviewed to determine what vocation he desires to follow. 
If it is found that, owing to physical peculiarities, his choice 
is unwise, the applicant is advised to undertake something 
else. 

Special instructors carry on the work. The Packard Com- 
pany, like other concerns, has found that best results are 
achieved by individual attention to students. On elementary 
work it was found that one instructor could efficiently handle 
five students, but that on machine-work one instructor for 
every three students was found to be absolutely necessary. 
One instructor for two students proved most successful. 

Not only the correct method of performing the job is 
taught, but physical training is given in how to do the work 
easily. In its work with women the company took especial 



SOME TRAINING SYSTEMS H5 

pains to harden the students, during the training period, so 
as to enable them to stand at their work without undue fatigue. 
Where possible, chairs were provided. The period of time 
during which the students were required to stand while at the 
job was gradually lengthened until, when the course was 
completed, they were able to stand during, the full working 
period. The rate of adjustment of the individual to the work 
varies in accordance with the severity of the task. 

The Wanamaker Plan 

Department store training systems are well exemplified 
by that of the John Wanamaker establishment in Philadelphia. 
Twenty-five years ago a body of the younger employees of 
the store was organized for educational purposes into a John 
Wanamaker Commercial Institute. This Institute now offers 
free instruction in common school branches, together with 
elementary business subjects, musical, social, physical, and 
military training. Instruction is given in both day and evening 
classes and includes specifically such subjects as spelling, 
"better English," reading, penmanship, practical drawing, 
mechanical lettering, design-work and stencil-making, store 
and community civics, commercial and industrial geography, 
music and physical culture. 

For adult employees the American University of Trade 
and Applied Commerce has been founded. The purpose of 
this institution is twofold: 

1. To give employees an opportunity of continuing their 

education while earning a livelihood. 

2. To develop better individuals, more useful members 

of society, 'and better citizens. 

The work is designed to supplement the primary and 
secondary education of the John Wanamaker Commercial 
Institute. Such technical subjects as pertain to the employee's 



n6 LABOR MAINTENANCE 

job are taught, and with them such cultural subjects as per- 
tain to health, thrift, and proper living. 

The Filene Plan 

An unusual plan of educational work in department stores 
is that conducted at William Filene's Sons Company in Boston 
for the 3,000 employees. The training work at this store 
has two phases: 

1. The training of the individual for his specific task. 

2. The development of group consciousness through the 

organization of those doing similar work through- 
out the store. 

Such matters as job analysis and standards of work are 
brought before the organized groups for their determination. 
When the number of the workers in a group is small they 
meet in one body, but if the number is too large, individuals 
are chosen to represent the group at its meetings. For ex- 
ample, the salespeople, numbering about 800, must conduct 
their meetings through representatives chosen from the selling 
departments. The heads of stock in large garment sections, 
numbering only 23 in all, meet in a single group. 

Miss Bernice M. Cannon, the Educational Director of the 
store, illustrates the method by the following statement about 
one group of workers, the "floor clericals/' who are the clerical 
assistants to the floor superintendent in the selling departments. 
There are about twenty of these workers in the store. 

As a result of our work, they are organized under their 
own leadership. Their job was analyzed and the group 
agreed on the responsibilities they considered were theirs to 
assume. The representative of the training department is 
the instructor of new people to the group. When a vacancy 
occurs, she is appointed temporarily to hold the job, to be 
assured that the particular job is well organized. An 



SOME TRAINING SYSTEMS 117 

assistant is appointed and the job is gradually turned over 
according to a definite plan. It takes, on the average, a 
week to train a floor clerical. When the week is over, the 
educational representative reports to the executive of the 
department that the person is trained and that she is ready 
to stand the test of the person doing satisfactory work. She 
then withdraws. In this way the instructor constantly goes 
back and forth to the operating job and is thus kept alive 
to the difference which the public demand may make of it. 
Not only this, but differences in practice not known before, 
may be revealed and the instructor then goes to the group 
for a decision on the standard practice. This particular 
group discovered that the quality of their work affected 
that of the auditing office. They voted as a group to be 
checked for a time by the auditing ofnce, reserving the right 
to check the auditing ofnce in return. 

One most important result of such training in group 
organization and in democratic group leadership should be 
the elimination of the greatest evil of big business, the poor 
leadership of the intermediate executive to whom managers 
have to entrust the smaller units of their business and who 
to so great an extent are responsible for the autocratic man- 
agement that adds to industrial unrest. 

Other Plans 

Another excellent apprenticeship plan is that of the Rem- 
ington Arms Union Metallic Cartridge Company of Bridge- 
port, Connecticut. An outline of the terms and form of their 
apprentice agreement will be found in Appendix E. 

Many employers throughout the country make provision 
for reduction in the period of apprenticeship in case of unusual 
application and ability. A large plant in Wilmington, Dela- 
ware, for example, gives a reduction ranging up to six weeks 
when the boy in his second or third year shows conscientious, 
effort. Another concern grants a reduction of from two to 
three weeks in the course if the boys take outside work, 
generally a course in drafting at the local Y. M. C. A. An- 



Il8 LABOR MAINTENANCE 

other well-known establishment in the same city offers 
a free evening technical course in the Y. M. C. A. after a 
year's service, provided that the boy's attendance has been 
97 per cent or more of the working year. 

The General Electric Company maintains schools within 
its own plants for training men for the several mechanical 
trades required in electrical manufacturing, especially for 
training machinists. Instruction is given during working 
hours on actual production work. The training room is in 
effect a large machine-shop set aside for training purposes. 
The men under training also attend classes which meet during 
the week for two-hour periods to study the mathematical and 
physical principles of their trades and to learn how to read 
blue-prints. 

Much the same system is followed by the Westinghouse 
Electric and Manufacturing Company, the National Cash 
Register Company, and other representative machine and 
mechanical products manufacturing companies, as well as by 
the Pennsylvania Railroad, the Atchison, Topeka and Santa 
Fe Railroad and other representative roads. 

The Curtis Publishing Company, in Philadelphia, and the 
R. R. Donnelly and Sons Company, in Chicago, conduct 
schools for the printers whom they employ. Learners are 
instructed during working hours while under pay. The in- 
struction is intended to develop compositors and men ex- 
perienced in the several printing trades. 

Training Shipbuilders 

The training of shipbuilders is still an important matter, 
even though the war is over, because of the demand for ships 
to replace the tonnage lost by warfare and because of the 
movement toward developing a merchant marine. The num- 
ber of men available in the several skilled shipbuilding trades 
is still relatively small. 



SOME TRAINING SYSTEMS 1 19 

The plan of the Merchant Shipbuilding Company, 
described below, which was employed during the war, is 
typical of that used by many companies in the United States. 
According to the plan, men from trades allied to those in 
shipbuilding, and even men wholly unskilled, were trained 
in some skilled shipbuilding trade by instructors who were 
themselves competent mechanics and also graduates of a gov- 
ernment instructor training center. At these training centers 
which were established at various points in the United States 
the instructors were taught the most effective way of "put- 
ting over" their instruction. The plan of the Merchant Ship- 
building Company embraces in general methods of preparation, 
presentation, application, and check. 

The trades in which instruction was given included ship- 
fitting, pipe-fitting, riveting, and so on. The learners were 
taught during working hours, under pay, and instruction was 
given on the job on actual production work. At times the 
instruction on the job was supplemented by classroom in- 
struction in such work as blue-print reading, laying out, etc. 

Aids for Establishing and Conducting Industrial Training 

Employers who are conducting industrial training, or who 
are contemplating establishing such training, may receive aid 
from one or more of the following sources: * 

1. Federal funds are available through the Smith-Hughes 
Act for the training of teachers of trade and industrial sub- 
jects and the payment of the salaries of teachers of these 
subjects. These funds must be administered through the 
several state boards of education. Details of the plan may 
be obtained from the Federal Board for Vocational Educa- 
tion, Washington, D. C. 

2. State aid may be available through several agencies for 



1 The general subject of training the worker is treated in full in "Training 
Industrial Workers," by Roy W. Kelly, published by the Ronald Press Company, 1920. 



120 LABOR MAINTENANCE 

industrial training. This, for example, may be through state- 
aided industrial schools, or through educational extension 
divisions operated under the state board of education, or a 
state university. A request for information to the state board 
of education will bring the desired facts on opportunities 
offered by the state in the interest of industrial training. 

3. Local aid may be available through special funds or 
through day or evening schools operated under the public 
school system or under private auspices. 

4. The Y. M. C. A.'s in the larger cities give educational 
courses which may be valuable as supplementary training for 
the industrial worker. 

5. The following associations have been organized to 
promote industrial training, and the employer will do well 
to make use of their past work and experience in organizing 
and developing the industrial training for his employees : 

National Society for Vocational Education, 140 West 

42nd Street, New York City. 
National Association of Corporation Schools, Irving 

Place and 15th Street, New York City. 
National Society for the Promotion of Engineering 

Education, Pittsburgh. 



CHAPTER IX 

THE PROBLEM OF AMERICANIZATION 

The Influence of Foreign-Born upon Industry 

Since the war, great interest has been aroused in the 
problem of aliens and their relation to industrial management. 
This interest is partly owing to the fact that a large number 
of the 700,000 illiterates between the ages of 21 and 31 
discovered by the registration in the first selective draft were 
foreign-born. The importance of the problem may be better 
realized through a study of the number of foreign-born living 
in this country. The census of 19 10 showed every seventh 
person in our population — not including Porto Rico and the 
Philippines — to be of foreign birth. Of these persons 1,650,- 
000 were illiterate. This figure does not include all who are 
non-English speaking, but only those who are unable to read 
or write in any language. A large number of foreign-born 
who can speak or read English but very little, or not at all, 
are employed in industrial work and have offered an un- 
usually fertile field for propaganda inimical to the industrial 
and social welfare of the country. In a recent census of 
10,000 foreign-born workers embracing 58 nationalities at the 
Bethlehem Steel Company, 5,300 showed no interest in citizen- 
ship. Industrial unrest among foreign workers has com- 
plicated the problem and is forcing employers to think seri- 
ously of methods of bringing about some solution. 

The present tide *of emigration is making the influence 
of the foreign-born upon industry felt in a negative way. 
Appeals are being made to those of foreign birth to return 
to their old country and help repopulate and reconstruct 

121 



122 LABOR MAINTENANCE 

devastated territory. That these appeals have been effective 
is indicated by the pressure which the banks feel through with- 
drawal of savings by those contemplating a return to Europe. 

"Industrial Americanization" 

One method of solving these industrial and social prob- 
lems is known as "industrial Americanization," which aims 
to bring the immigrant to a better understanding of industry 
and to make clear his privileges, rights, and obligations in the 
community — particularly in regard to his work. As defined 
by Charlton Edholm of the National Americanization Com- 
mittee, the fundamental purposes of industrial Americaniza- 
tion are: 

1. The interpretation of American ideals, traditions, 

standards, and institutions to foreign-born peoples. 

2. The acquirement of a common language for the entire 

nation. 

3. The development of a universal desire of all peoples 

in America to unite in a common citizenship under 
one flag. 

4. The combating of anti-American propaganda activi- 

ties and schemes and the stamping out of sedition 
and disloyalty wherever found. 

5. The elimination of causes of disorder, unrest, and 

disloyalty which make fruitful soil for un-American 
propagandists and disloyal agitators. 

6. The abolition of racial prejudices, barriers, and dis- 

criminations, of colonies and immigrant sections, 
which keep people in America apart. 

7. The maintenance of an American standard of living 

as applied, for instance, to the use of American 
foods, the preparation of foods, and the care of 
children. 



PROBLEM OF AMERICANIZATION 1^3 

8. The discontinuance of discriminations in housing, care, 

protection, and treatment of aliens. 

9. The creation of an understanding of and love for 

America and the desire of immigrants to remain in 
America, have a home here and support American 
institutions and laws. 

"What America Means" 

Once in a long while a distinguished citizen and public 
official gives voice to ideals of Americanization in terms which 
deserve the closest attention of all serious workers in this 
field. Franklin K. Lane, recently Secretary of the Interior, 
has delivered such a message. It should be reprinted on large 
posters and hung up in every school, in every shop, and indeed 
wherever any work of transforming the alien into an American 
citizen goes on. The following paragraphs from Mr. Lane's 
address on "What America Means" deserve special emphasis : 

Americanism is entirely an attitude of mind; it is the 
way we look at things that makes us Americans. . . . 

I would give to the man whom I wished to Americanize 
(after he had learned the language of this land) a knowledge 
of the physical America, so as to get an admiration, not 
only of its strength, of its resources, of what it could do 
against the world, but that he might have pride in this as 
a land of hope and a land in which men won out. I would 
take him across the continent. 

I would show him the good and the bad. I would show 
him the struggle that we are making to improve the bad 
conditions. I would tell him not that America is perfect, 
that America is a finished country, but I would say to him: 
America is an unfinished land. Its possibilities shall never 
end, and your chance here and the chances of your children 
shall always be in ratio to your zeal and ambition. . . . 

And I would give to that man a knowledge of America 
that would make him ask the question, "How did this come 
to be?" 



124 LABOR MAINTENANCE 

And then he would discover that there was something 
more to our country than its material strength. 

It has a history. It has a tradition. 

The march of civilization is the epic of man as a work- 
ingman, and that is the reason why labor must be held 
high always. 

We have nothing precious that does not represent 
struggle. We have nothing of worth which does not repre- 
sent effort. We have nothing of lasting value that does not 
represent determination. We have nothing admirable which 
does not represent self-sacrifice. We have no philosophy 
except the philosophy of confidence, of optimism, and faith 
and the righteousness of the contest we make against na- 
ture. ... 

That is the reason, my Russian friend, my American 
friend, why this is a haven to you. Bring your music, 
bring your art, bring your soulfulness, your ancient ex- 
perience, to the melting pot and let it enrich our mettle. We 
welcome every spiritual influence, every cultural urge, and 
in turn we want you to love America as we love it because 
it is holy ground — because it serves the world. 

Americanization — A Humanizing Program 

The foregoing extracts emphasize the importance of a 
sympathetic attitude for successful Americanization work. 
Moreover, an understanding of the alien and a recognition 
of the necessity of working with rather than for him in the 
factory, school, or citizenship club are essential. When he 
is treated with understanding sympathy he responds and gives 
his best effort in co-operation. The spirit in which Ameri- 
canization work is carried on is fully as important as the 
method and the program. Experience has shown how easy 
it is to fail entirely through over-reliance on what might be 
called the mechanical side of the work, and through an in- 
sufficient grip on the human-nature facts involved. 

On the other hand, good impulses alone do not go far, and 
the best of programs can be ruined by a lack of intelligence. 



PROBLEM OF AMERICANIZATION 125 

Nothing has been accepted more fully by industrial managers 
of experience than the proposition that if the work to be done 
concerns human beings, whatever may be its nature, only 
competent persons should be placed in charge. Unless real 
intelligence underlies work of this kind, the effort is sure 
to prove futile, and not improbably harmful; for human 
nature, and rather sensitive, self-conscious human nature, is 
the raw material with which the Americanization worker deals. 
After all, we really cannot Americanize the alien; he must 
do that for himself. It is for us to show the way; and as 
Americanization requires an atmosphere of mutual confidence, 
it is absolutely essential to win the good-will of those whom 
we would influence. We must look for the best methods, 
and try to sum up in a practical way just what is and what 
is not desirable. 

The Importance of First Impressions 

When the immigrant comes to this country, he brings with 
him the desire to enjoy the freedom and reputed good-will 
of America. Whatever his nationality, the lonesome stranger 
is ready to respond to the least sign of cordiality and con- 
sideration. Sympathetic assistance in learning the habits, 
customs, and traditions of the new country will bring out 
the best in him. If he is to become an integral part of our 
industrial structure he must not be treated as an interloper, 
but as a friend. He must find it worth while to make this 
country his permanent home and in doing so must understand 
our ideals and see the relationship of our industrial and 
political organization to his own job and his personal welfare. 

These facts are appreciated and utilized by such concerns 
as the Schwartzenbach-Huber Company which is carrying on 
an Americanization campaign in its New England plants as 
a part of the campaign for labor maintenance. The company 
believes that more can be done to establish the right spirit 



126 LABOR MAINTENANCE 

at the time when the foreign-born worker receives his first 
impressions than later when his opinions have been formed. 
Its policy, therefore, is to treat the newcomer with the courtesy 
and consideration with which an American would desire to be 
treated in a strange country, and American employees of the 
plant are encouraged to make their foreign co-workers feel at 
home. 

Managerial Attitude — A Determining Factor 

The real work of industrial Americanization begins with 
employers, foremen, and bosses, for their attitude is the 
determining factor in the success of any Americanization 
plan. To the foreigner, they are the persons who represent 
this country and American ideals. These men must get away 
from the notion that foreign-born workers are merely "wops," 
"mutts," and men without intelligence. A manager of a large 
industry in speaking of his foreign employees to the author 
called them "animals who want nothing but money," and 
another, expressing his labor needs, exclaimed, "We want men 
who don't use their brains ; we want foreigners !" How little 
did these men know of the forces at work among these 
"foreigners" to capitalize their man-power and help "show 
the bosses that we are human beings and intend to take the 
control of industry away from the slave-drivers!" 

The Right Attitude 

In one of the largest shoe factories in the world, employing 
many foreigners, a deep undercurrent of unrest asserted itself 
from time to time. Unexpectedly, a notice came to the man- 
agement asking for an immediate increase in wages and mak- 
ing other demands. If such demands were not met within 
24 hours, the total foreign working force (about 8,000) would 
quit. No trade union issue was involved. The workers were 
not organized into trade unions. The men were unorganized 



PROBLEM OF AMERICANIZATION 127 

and there was serious danger of violence if the men went on 
strike. The president of the company conceived the idea of 
meeting the men personally, and posted such a request printed 
in various languages throughout the plant. 

That night a great crowd of the men gathered together 
and waited for the president to appear. They had never seen 
the president. When he appeared there was an immediate 
hush. With a smile on his face and in the most courteous 
language he asked, through an interpreter, that the men give 
him an opportunity to go over the whole cause of dispute 
with representatives whom they would select ; these representa- 
tives could then go over the books of the concern and see 
for themselves whether an increase at that time was possible. 
In the meantime would they please extend the time for answer 
to their demands? From several parts of the room men 
sprang up and shouted in their native tongues. Finally one 
who spoke English brokenly was allowed to talk directly while 
the others listened. This is what he said: 

"Mr. President, we thank you for your kindness in coming 
to speak to us personally and we wish to say we appreciate 
your courteous consideration of our requests. We will go 
back to work and send you our men to talk with you." 

Wild applause followed and the men left in a spirit far 
different from that in which they came. They selected their 
committee which went over the books and reported that an 
increase could not be fairly asked at the time. There was no 
strike. 

The Americanization Committee 

Like other service work, Americanization depends for its 
success upon the full co-operation of all the parties in the 
industrial enterprise. The alien should be given a place in 
the councils dealing with this type of plant activity. One of 
the best methods of handling this work is through a com- 



128 LABOR MAINTENANCE 

mittee of workers and representatives of the management, 
which should, if possible, represent every nationality in the 
plant. We are always in danger of overlooking human dis- 
tinctions of importance when we generalize about people in a 
wholesale way. All aliens are 'not alike, though some of their 
problems may be; nor are all nationalities in daily contact 
likely to conform to the rough classifications we may use 
concerning them. The Americanization Committee of the 
United States Rubber Company plant at Naugatuck, Con- 
necticut, is composed of two men selected from each racial 
group. They have done a good deal to stimulate activity 
among foreign-born workers. 

The committee, thus constituted, should hold meetings 
often to discuss plans and procedure. Such representation 
will go a long distance to bridge the gap between the manage- 
ment and the new Americans. They will receive this attention 
as a sign of respect and consideration, and their appreciation 
will take the practical form of helping to keep up attendance, 
interest, and loyalty for the project. Moreover they will now 
and again offer hints and counsel of utmost practical use- 
fulness. 

Where the above suggested method has been tried, an 
enthusiasm has been developed which compensated the man- 
agement many times over. In New Britain, Connecticut, for 
example, a number of the factories are co-operating in this 
work, and have committees some of whose functions are: 

1. To assist all employees in acquiring the English 

language. 

2. To distribute advertising leaflets and posters in order 

to stimulate evening school attendance. 

3. To plan for special recognition of those who attend 

evening classes, and to encourage absent students to 
return. 



PROBLEM OF AMERICANIZATION 129 

4. To promote citizenship interest among employees. 

5. To enlist foremen's interest and to help them develop 

a more thoughtful and sympathetic attitude. 

6. To provide opportunities for social contact, through 

such activities as community singing and so on. 

The Influence of Plant Spirit 

The best and most lasting achievements in Americaniza- 
tion work have resulted from indirect, rather than direct in- 
fluences. If the spirit and surroundings of the plant definitely 
suggest Americanism, a large part of the work has been accom- 
plished, and a fertile soil for further successful work has 
been prepared. Posters, flags, first-rate and cleanly surround- 
ings, produce an atmosphere distinctive of American work 
places. This environment is in sharp contrast to that which 
many an alien has been accustomed to abroad. As the proper 
atmosphere has a direct bearing on the success of any Ameri- 
canization plan, every executive, every foreman, and every 
employee must be impressed with the matter of maintaining 
American standards with regard to the immediate surround- 
ings of shop, mine, and mill. This requires attention to detail, 
but the effort will bring about better discipline, and greater care 
of tools and other property. Right plant relationships and 
an interest in the constructive educational work of the 
organization will also be manifest. 

Getting Behind the Returns 

A point to be borne in mind, however, in checking up 
Americanization projects is the inadequacy of routine sta- 
tistics, necessary though they may be. Figures can never 
tell us how the people influenced by various projects really 
have been affected. There has been a tendency to make much 
of classroom records. It is important to go behind the returns. 
To accomplish this, a closer contact with the groups being 



13° LABOR MAINTENANCE 

Americanized is required than is always found. These groups 
have something to say, if wise methods are used in getting 
at their ideas. At times, they are treated in too mechanical 
a fashion, and much helpful counsel is lost, which if gathered 
in time would do much to help improve the work. Every 
graduated group should be treated as an alumni group whose 
interest in the future good of the service that has helped them 
is expected for the sake of others who come after them. There 
is cumulative good-will in such a treatment of the groups, 
and the assurance of continued improvement and larger effec- 
tiveness of the whole enterprise. 

A California Commission 

A few years ago the state of California established a 
commission on housing and immigration. This commission 
has been a great success because from the very outset its 
members sought to see the immigrant problem not only from 
their own standpoint, but from that of the immigrant. They 
believed in him; they felt and showed their respect for his 
customs and his traditions. Nothing they ever said caused any 
loss of self-esteem on the part of those they sought to help. 
By building on the loyalties that were natural to the alien 
they placed the new loyalties they sought to instil on a much 
stronger foundation. 

The new environment of the alien was a matter of large 
concern to the commission. Was the local environment, they 
inquired, such as helped or retarded real Americanization? 
Were influences at work on the alien which, unless checked, 
would embitter his spirit and develop in him a hostile attitude 
toward the new land? In other words, those practical Cali- 
fornians threw mouth-filling phrases aside and faced the facts 
squarely. They saw that poor housing was an enemy of 
Americanization ; that abuses and oppressions of various kinds 
suffered by the alien at the hands of both his own more 



PROBLEM OF AMERICANIZATION I3 1 

sophisticated countrymen and those who called themselves 
Americans were doing more than anything else to alienate 
and prejudice him. These things had to be dealt with in a 
sensible manner if Americanization could make any headway 
at all. 

Report of the Commission 

Here is the commission's own statement of just what fol- 
lowed : 

From the start, in the scheme of the commission, these 
tasks outlined themselves, following the belief that before 
a man should be asked to become a good American by being 
worthy of his surroundings, those surroundings should be 
made worthy of a good American. 

The immigrant did not understand his rights, did not 
understand our laws, his ignorance was exploited on every 
hand; so the commission's Bureau of Complaints came into 
being, to advise him, to adjust his difficulties, and to remove 
the causes for those difficulties. 

In the labor camps he worked — for the most part — under 
wretched conditions which he could not change, and the 
remedy for this was the commission's Bureau of Labor 
Camp Inspection which, in five years, has revolutionized the 
labor camps of the state. 

He lived by his work and little help could be given him 
if he were deprived of that work; and the question of 
unemployment with the problems leading up to it, the prob- 
lems arising from it, and possible solutions, became part 
of the commission's undertaking. 

From the moment of his arrival he was crowded into 
the badly congested quarters of the city and so the problem 
of housing was accepted as part of the bigger problem of 
immigration, and the-commission set about the task of awak- 
ening the state to its obligation of furnishing proper living 
conditions even for those who can pay little rent. 

He did not know the English language, and the com- 
mission's Bureau of Immigrant Education turned to this new 
task of education. 



132 LABOR MAINTENANCE 

Even so, he could not wait to learn the language of 
America before assuming some of the duties toward her; 
her ideals and hopes had to be made clear to him in his 
own tongue ; and the commission's foreign-language speakers 
set out upon their mission of enlightenment. 

An Ohio Plan 

One of the best plans for developing Americanization work 
through industry is that outlined by H. T. Waller, Director 
of the Bureau of Education of the B. F. Goodrich Company 
of Akron, Ohio, for the Ohio Council of National Defense. 
The first step, according to this plan, is to secure the services 
of a man, if possible from the working force of the plant 
undertaking the campaign, who is possessed of broad sym- 
pathies, tact, and vision as well as a practical education. He 
must be the person to focus the interest of the community, 
the industry, and the non-English-speaking groups upon 
Americanization work and this necessitates freedom from bias 
against any creed or nationality. The next step is for the 
official head of the company to hold a conference of foremen 
and sub-foremen who handle foreign-born workers in any 
appreciable number, and to present to them the problems of 
the immigrant as related to national and industrial success. 
The person at the head of the educational work in American- 
ization might then be constituted an assistant to each depart- 
ment foreman, to work with him for the men in that depart- 
ment. 

Emphasis on Practical Results 

The fact has been already emphasized in these pages, that 
the purpose of the factory is production, and that education 
can have no place in the factory except as it is an influence 
in steadying or increasing production. In considering the 
advisability of installing a course only one thing should he. 
considered—-will it bring about practical results? 



' PROBLEM OF AMERICANIZATION 133 

Experience has proved very definitely that a knowledge of 
the following subjects increases production: 

1. English. A working knowledge of English enables the 
worker to understand notices and instructions, and conse- 
quently reduces the number of accidents and the amount of 
waste. The economic value of the worker is thereby increased 
and the teaching of the subject in the factory is justified. 

2. American history. The history and character of great 
Americans and their contribution to the growth of the United 
States teaches by example the part which new Americans must 
play in the life of the country. 

3. Civics. Whether a man is naturalized or not he has 
certain rights and duties under our government. If these 
rights or privileges and their corresponding obligations are 
taught, the worker will better understand such matters as the 
restrictions placed upon strikes when the welfare of the public 
is concerned. This in turn influences production and so makes 
the teaching of the duties of citizenship worth while. 

The Scope of Americanization Work 

The programs of these two groups in California and Ohio 
have been cited because they indicate the scope of American- 
ization. Carrying on their work in widely separated parts 
of the country, both groups — after right living and working 
conditions were obtained for the men — aimed to accomplish 
two things: to teach the foreign-born worker our language, 
and after he had gained that knowledge, to teach him some- 
thing about our American institutions and ideals. The im- 
portance of a right environment, of course, should never be 
overlooked. Not the foreign-born alone, however, but all 
employees respond to right housing conditions and the other 
phases of service work considered elsewhere in this book. 

On the other hand, the special need of the foreigner is 
to learn the language of this country and to become acquainted 



134 LABOR MAINTENANCE 

with American institutions. Although the foreign-born 
worker must assume some of his duties to this country before 
he can possibly have time to learn our language, Americaniza- 
tion work is greatly facilitated by a knowledge of English on 
his part. For this reason the fundamental principles and the 
best methods of teaching English deserve attention first 
wherever an Americanization campaign is started. These are 
presented in Chapter X. A consideration of the work of 
acquainting him with American institutions is taken up in 
Chapter XL 



CHAPTER X 

TEACHING THE FOREIGNER OUR LANGUAGE 

The Importance of Teaching English 

The work of Americanizing the foreign worker is aided 
greatly when special classes are established in which he may 
receive knowledge of the English language. These classes 
may be conducted by the factory, by the public schools, or by 
the factory in co-operation with the schools. There is no 
element of philanthropy in this; nor is there anything of 
the paternal. The problem has been approached from the 
standpoint of good business and because experience showed 
that these efforts have beneficial results. Thousands of dol- 
lars are lost each year through accidents which are the result 
of the failure of foreign-born workers to understand verbal 
or written orders. Large sums are lost through wasted 
products. Most serious of all is the unnecessary loss of life 
and limb, traceable to the lack of knowledge of the English 
language. 

An appreciation of the saving resulting from teaching 
English may be gained by considering the results of educa- 
tional work among immigrant workers carried on by D. E. 
Sicher and Company, manufacturers of muslin garments in 
New York City. The earning capacity of the workers in this 
concern in the first year of the classes increased from 10 to 
40 per cent. Moreover, the amount of supervision necessary 
was considerably reduced and two instructors were able to do 
the work which previously required the services of four or 
five. 

135 



136 LABOR MAINTENANCE 

Forming Classes for Study 

A special committee appointed by the National American- 
ization Conference held in Washington, May, 19 19, to study 
methods of teaching English to foreigners concluded that the 
best results are obtained by grouping students according to: 

1. Race. This is of special importance with beginners who 
cannot speak or understand English. "In this way racial 
antipathies are avoided and groups that are homogeneous both 
as to racial backgrounds and intellectual achievements can be 
brought together. " 

2. Sex. If the number of pupils is insufficient to warrant 
separate classes, men and women should be divided into 
separate groups in the class. 

3. Knowledge of English. Three groups consisting of 
beginning, intermediate, and advanced students are usually 
made. The first group should be made up of those who have 
no knowledge whatever of English, or very little. The second 
group should consist of those who speak with some fluency 
though incorrectly, who can read simple English sentences and 
perhaps write short sentences from dictation. The third group 
may contain those who are able to talk on subjects of general 
interest, who can read the newspapers, and who are able 
to write a short business letter fairly well. 

The following outline is offered by the committee for the 
convenience of persons who are called upon to classify pupils 
according to their knowledge of English: 

I. Beginning group, comprising: 

(a) Illiterates who: 

Speak and understand no English. ' 
Speak and understand some English. 

(b) Those educated in some foreign language who: 

Speak and understand no English. 
Speak and understand some English. 



TEACHING FOREIGNERS OUR LANGUAGE T-Z7 

2. Intermediate group, comprising those who: 

(a) "Speak much English poorly, or a little well." 

(b) Read simple English sentences with under- 

standing. 

(c) Write short sentences from dictation. 

3. Advanced group, comprising those who: 

(a) Talk about matters of general interest. 

(b) Read the newspaper. 

(c) Write short business letters. 

The size of each class will be a matter determined by 
the teacher. Some can handle a large number of workers 
but best results will be achieved with groups of about ten. 
The larger the group the more uniform should be the grade 
of the pupils. 

Selection and Training of Teachers 

Special care should be taken, in selecting teachers, for 
the success of classes in English depends largely on the quality 
of the teaching. When the teachers are of the same nationality 
or race as the pupils, attendance at classes will be larger and 
more constant than otherwise. 

Moreover, when the teacher understands the linguistic 
difficulties of his pupils, he can succeed better with them. He 
should, however, use his native tongue but little in the work 
with pupils. 

It is advisable to form teachers into normal classes for 
specialized training. At the Bethlehem Steel Company the 
normal class meets an hour and a half each week during the 
school term. At these conferences, problems and methods 
are discussed in detail. The teachers are taken through the 
plant to learn something of the processes in which their pupils 
are engaged, the tools used, and the working conditions. 
Special instruction is given them as to how to meet their men. 



I3 8 LABOR MAINTENANCE 

The importance of cordiality and sincerity in all their dealings 
with pupils is emphasized. Teachers are also instructed to 
make their classes informal and to teach the men "what they 
want to know." 

Fostering Interest 

The meetings must go with "pep." Every pupil should 
feel that he has found a new friend. The school must provide 
exceptional attractions to offset the natural weariness that 
comes from the hard work of the^day. Regular social enter- 
tainments for the pupils and their friends in which the 
programs are made up largely by the pupils are productive of 
good results. In this way opportunity for the expression 
of the fine things in the national life of the various groups 
should be given. The folk dances of the various nations 
appeal to Americans and offer a splendid method of bringing 
the various nationalities together on a basis of friendship and 
co-operation. 

The Problem of Attendance 

After the classes have been organized, teachers will be 
confronted with the problem of securing attendance. An 
interpreter who is intelligent and sympathetic will be able to 
show the workers the advantages of the plan. He should 
dwell on the fact that the plan is co-operative and means 
progress and profit for themselves as well as benefit to the 
employer. Workers who are reluctant to join because they 
feel too old can be induced to take the course of 30 lessons 
for six weeks so that they may be enabled to get a fairly good 
working knowledge of English. 

But under no circumstances, however, should a foreman 
be allowed to bulldoze employees into attendance at classes. 
The element of compulsion must be absent. 



TEACHING FOREIGNERS OUR LANGUAGE 139 

Language of the Classroom 

The National Americanization Committee recommends the 
use of the English language exclusively in teaching, but gives 
a warning that "this method to be satisfactory must be com- 
pletely and carefully organized and the material for the early 
lessons selected with great care." Emphasis should be placed 
on words that the pupil uses in his daily life. 

Methods of Teaching 

At first the method of teaching English may consist largely 
in getting the students to converse and to make up little oral 
or written compositions or "themes," as they are called, each 
consisting of a few simple sentences. The sentence rather 
than the single word is to be taken as the unit of language. 
Sentences should "follow one another in logical sequence in 
time, as this will be a great aid to the memory of the pupil," 
and should be arranged in groups of four or five each "so as 
to form resting places for the pupils." With beginners the 
teacher may use to advantage twenty-five to thirty "themes" 
of fifteen sentences each before organizing lessons in regular 
paragraph form. 

Variety Aids Greatly 

The importance of variety in review work is brought out 
by the committee and these suggestions made to the teacher: 

1. Question the pupils, requiring answers that will use 

words taught in the sentences of the various themes. 

2. Give commands, either orally or in written form on 

the blackboard, using words previously taught, and 
ask the pupil to execute the command and then tell 
what he did. 

3. Let the pupils question each other about the lessons 

as soon as they have gained sufficient vocabulary. 



140 LABOR MAINTENANCE 

4. Dramatize universal activities, such as buying a hat, 
applying for work, making a deposit in a savings 
bank. 

Drill in Grammatical Expressions 

Little time should be given to formal rules and definitions 
of grammar, but there should be much drilling in grammatical 
forms and expressions. "Sound drills are valuable to aid in 
the correction of foreign accent, enunciation, and pronuncia- 
tion. Sound drills should center around words in the theme, 
but no pupil should practice the sounds until after the teacher 
has carefully shown how the sounds are developed." The 
study of sounds should be kept distinct from the reading exer- 
cise, otherwise the reading will lose its continuity and 
interest. 

Oral instruction and practice in speaking should have first 
place in the program. After the ear is made familiar with 
the "theme," blackboards can be used and the lesson can be 
copied into note-books from the blackboards. In this pro- 
cedure "use is made first, of the ear in listening; then mouth 
in repeating; then eye in reading from the blackboard, and 
finally to both eye and hand in copying into note-book." 

Work of the Bethlehem Steel Corporation 

One of the best plans for teaching English is that of the 
Bethlehem Steel Corporation. As experience with volunteer 
teachers proved unsatisfactory, the company employed teachers 
from Lehigh University and the Y. M. C. A. These instructors, 
who have proved to be very successful, receive $2 a night. 
The plan for recruiting members of the English classes as 
described in the National Efficiency Quarterly for November, 
19 1 8, by J. R. Mulligan, who supervises the night classes, is 
somewhat as follows: 



TEACHING FOREIGNERS OUR LANGUAGE 14* 

i. Favorable articles regarding the opening of the classes, 
work proposed, and benefits offered, are secured in the news- 
papers and foreign publications which circulate in the locality 
and are to be followed up by items as to the progress of the 
classes. 

2. Personal calls are made on the pastors of churches to 
which the foreign-born belong and the plans discussed with 
them to obtain their co-operation and assistance in overcoming 
difficulties. 

3. This is followed by personal visits with reliable inter- 
preters to the various national societies and lodges representing 
the working force. 

4. Announcements of classes are made in the churches 
at least two Sundays before the instruction begins and the 
pastors should be requested to urge members to join. 

5. Posters in English and other languages are placed 
throughout the plant urging enrolment in the classes. 

6. Talks are had with the foremen for the purpose of 
securing their co-operation in urging workers to attend the 
classes. 

The plan during the course of the first lessons is to grade 
the pupils by nationalities. When they are able to speak 
English fairly well, nationalities are disregarded and the 
students are graded according to their ability. An interpreter 
is used in the first stages of the instruction. Three classifica- 
tions of pupils are made: 

1. Those who have had previous education in their own 

language. 

2. Those uneducated but possessing knowledge of a little 

English. 

3. Illiterates. 

Two nights a week are devoted to the work. Attendance 
is checked by a system of red and yellow record cards. The 



I4 2 LABOR MAINTENANCE 

former are retained by the pupils and the latter are kept on 
file. The cards are numbered serially to represent class meet- 
ings, and the checking is done in the following manner. When 
the class assembles, those present turn their cards in to the 
clerk who punches the serial numbers in red and yellow cards. 
Cards are not punched for absent students. 

The method of teaching is by means of visible objects. 
To keep up the enthusiasm of pupils, frequent entertainments 
furnished by the pupils are held during part of the lesson 
hour and occasionally cigars and cigarettes are passed around. 

The Ford School • 

The Ford English School was started in May, 19 14, with 
one teacher and two pupils. Within a short time there were 
2,700 pupils. Since the opening of the school 14,000 men 
have graduated. The teachers are all Ford employees who 
volunteer their time. The course consists of 72 lessons, taught 
in 32 weeks, two hours a day on two days a week. Graduates 
of the course receive diplomas certifying that they can read, 
write, and speak English, sufficient for the ordinary conduct 
of their affairs. These diplomas are accepted by the judges 
of the United States courts when the holder applies for 
naturalization, as sufficient proof of knowledge of the English 
language. No further examination is required. 

The method of teaching English is well worth noting 
because of its sound, practical quality. C. C. DeWitt, who 
has charge of English instruction at the Ford Company, makes 
it a point to have each lesson drive home some bit of practical 
information about matters in the daily life of the worker, in 
addition to increasing the pupils' vocabulary. "We show them 
how to work about a drill press with sleeves rolled up and 
a bow tie instead of a four-in-hand tie which gets caught in 
the machinery," says Mr. DeWitt. Several men lost their 
lives through wearing long ties ; in the English lesson the point 



TEACHING FOREIGNERS OUR LANGUAGE 143 

is brought out that "safety first" ties are the only ones to 
wear. Everything is presented in dramatic form because much 
more can be acquired through the eye than through the ear. 
Drill is first given on one word, then two, then combinations 
of two or three words, and so on. 

At this school employees are taught to speak English 
\vithin six weeks. Since the school has been in operation, 
accidents in the factory have decreased 54 per cent. The 
employees are able to read safety notices and understand 
instructions. 

The Goodyear Rubber Company's Plan 

More than 900 foreigners have attended the classes recently 
started by the Goodyear Rubber Company, Akron, Ohio. The 
hours of the classes are arranged to suit the working hours 
of the men. During the war the school was in session five 
days of the week from 7 a.m. to 11 p.m. Classes are divided 
into two groups, one for elementary students and the other 
for advanced pupils. Instruction to beginners starts with the 
names of common objects which they generally see around 
them and introduces the adjectives and verbs used in ordinary 
conversation. Emphasis is placed upon conversational Eng- 
lish. The advanced group is taught reading, spelling, and 
composition. For this group some of the lessons in civics and 
composition are taken from the history, literature, and folk 
stories of the native land of the student. 

Other Factories Conducting Classes 

At the Chester Shipbuilding Company, every man who 
enters the Americanization classes must deposit one dollar, 
not as tuition fee, but as evidence of his good faith in com- 
pleting the course. The dollar is returned to him at that time. 
The lessons are planned to cover: 



144 LABOR MAINTENANCE 

1. Conversational English. 

2. Reading and writing. 

3. Reading of shipyard bulletins, posters, and announce- 

ments. 

Pupils are encouraged to add to their knowledge of words 
by discussing topics connected with their work. 

An unusual method of teaching English is that practiced 
by the Cleveland-Cliffs Iron Company of Gwinn, Michigan, 
which gives daily instruction to foreign-born workers who 
are in the company's hospital. Forty-five minutes are devoted 
each day to the instruction of each patient and he is given 
some material to prepare for the following day. 

In order to narrow the gulf which exists between the 
foreign-born and their children born in this country, the 
American Rolling Mill Company wisely tries to secure the 
aid of the children in inducing their parents to learn the 
English language. To stimulate this, prize-letter contests were 
conducted in the public schools. The president of the com- 
pany offered ten silk flags for the best letters from children 
in grades four to eight. The letters were written to fathers 
and mothers stating reasons why they ought to learn the 
English language and become American citizens. 

Classes in English are conducted on company time, during 
the day and in the evening. Interest in these classes is stimu- 
lated by Americanization meetings in which the foreign socie- 
ties take part. A unique feature of the company's plan is 
the class for foreign-born women. That the classes have been 
a success is proved by the reduction in accidents and the 
increasing good spirit among the workers. 

The Willard Storage Battery Company, Cleveland, issues 
the following interesting bulletin to its employees: 

Education is the great leveler, and, the beauty of it is, 
it always levels up. Men who speak foreign tongues find 



TEACHING FOREIGNERS OUR LANGUAGE 145 

as soon as they can handle English that new and better 
opportunities open for them. 

To you Americans — what are you doing to help the man 
who works beside you who cannot speak English? Are 
you urging upon him the necessity and advantages of at- 
tending our classes in order to learn the English language? 
These classes are open Monday, Wednesday, and Friday at 
5 p -m. 

Classes in English at the Norton Company, Worcester, 
Massachusetts, meet twice a week during regular working 
hours. The company appeals to its English speaking em- 
ployees to urge the foreign-born to learn English. Assistance 
is given in preparation for naturalization. 

Half-time pay is offered to employees of a large rubber 
manufacturing plant in Connecticut for attendance at English 
classes which come at noon, in the afternoon, and in the 
evening. Prizes are offered to encourage better work. In- 
struction is conducted along conversational lines and is related 
to the daily life of the men at home, in the plant, and in the 
community. 

At the Hamilton Mills, Southbridge, Massachusetts, the 
work of the school for foreign-born employees is considered 
so important that the period from 4:30 to 5:30 p.m. is given 
to the work. The last half-hour of this period is contributed 
by the company provided workers devote a half-hour of their 
own time for the same purpose. 

At the L. Candee Company in New Haven, pupils are paid 
25 cents a lesson. The sessions are one and a half hours 
each. Foremen are urged to use only English in talking to 
employees. The classes co-operate closely with the work of 
Americanization. 

Co-operation with Public Schools 

One method of handling the school work is through co- 
operation with the public schools. When a plant does not 



146 LABOR MAINTENANCE 

have its own classes it may follow the example of the Converse 
Rubber Shoe Company of Maiden, Massachusetts, which pays 
its men overtime for evening school work in the public schools. 
Foreign-born workers are urged through the employees' paper 
and the foremen to take advantage of this opportunity 

The Carnegie Steel Company of Youngstown, Ohio, en- 
courages its employees to attend the night schools held in the 
assembly hall of the plant and takes attendance at such classes 
into consideration when planning promotions. 

Using Company Time 

Night schools in cities are nearly always poorly attended. 
The factory worker is usually too tired at the end of the 
workday to absorb much from evening instruction, and ex- 
perience has shown that it is only those who. are naturally 
studious whose attendance is continuous. With* this in view 
a large number of plants furnish the room and equipment 
for the instruction at the plant on company time, securing the 
teachers from the local school authorities. Other plants secure 
their teachers from the factory force on a volunteer basis or 
engage teachers who are specially paid. 

Teaching English Pays 

Facts tending to show that it pays to teach the foreigner 
English have been introduced throughout this chapter. The 
experience of many manufacturers proves that a knowledge 
of English on the part of the foreigner results in fewer acci- 
dents. Less products are wasted. But most important of all, 
the effort pays in better plant spirit and co-operation between 
management and workers. In summing up the case it might 
be well to add the testimony of three companies whose activi- 
ties in the industrial field are widely separated. 

Records of the Commonwealth Steel Company show that 
at one time 80 per cent of the injuries received by their 



TEACHING FOREIGNERS OUR LANGUAGE 147 

workmen were among those who spoke no English although 
these employees constituted only 34 per cent of the force. 

The Joseph and Feiss Company of Cleveland, clothing 
manufacturers, makes this statement: 

We have been able to secure telling results in better 
co-operation of our workers, more intelligent handling of 
work, and clearer understanding of factory problems, such 
as steadiness of attendance. Altogether we cannot speak 
too enthusiastically of the actual value in dollars and cents 
of English classes in factories. 

The following significant statement by Harold McCormick, 
President of the International Harvester Company, was pub- 
lished in the National Efficiency Quarterly, November, 19 18. 

A working knowledge of English is as essential to the 
employee's service as to his citizenship. Without it he 
cannot be taught to protect himself adequately against ex- 
ploitation of his ignorance on the outside. Lacking that 
knowledge he cannot fully grasp either the industrial or the 
social opportunities of his adopted country and must be 
denied much of the opportunity it offers for self-develop- 
ment. The teaching of English to alien-born employees is, 
therefore, a primary and fundamental duty resting upon all 
American employers — a duty whose competent discharge is 
bound to bring full compensation to all the parties and 
elements in interest, 



CHAPTER XI 
FURTHER AIDS FOR AMERICANIZATION 

Study of American Institutions 

A program of Americanization properly begins with in- 
struction in the English language, but that is not enough. 
The rights and duties of citizenship should be taught. More- 
over, everyone, whether naturalized or not, has certain rights 
or privileges under our government which should be taught 
together with their corresponding obligations. 

At the Goodyear Rubber Company, when the men approach 
the end of the course in English, they are prepared for natural- 
ization by studying the forms of government — municipal, state, 
and national; the rights and duties of citizenship; and im- 
portant facts in the history of the United States. 

Necessity for a Well-Balanced Educational Plan 

An elementary technical and cultural education is also 
important. Although the function of the factory is primarily 
production and not education, the fact that education increases 
production has been incontestably proved. An effort to 
educate foreign employees, however, may be too much of a 
task for the management to assume unaided. In this connec- 
tion the work of the D. E. Sicher Company may prove sug- 
gestive. 

The school in the plant is under the joint operation of 
the company and the New York Board of Education. The 
board supplies the teachers while the company is responsible 
for equipment and incentives. Pupils receive full-time pay 
for attendance at classes, such attendance being voluntary. 

148 



FURTHER AIDS FOR AMERICANIZATION 149 

Forty-five minutes are devoted each day to practical subjects 
intended to make the worker more efficient and industrious, 
to give her an intelligent, impartial understanding of American 
history and institutions, and to help make her an efficient 
home-maker. 

The course of study for the illiterate workers' class, out- 
lined below, offers excellent suggestions for other plants: 

I. English 

i. Reading 

2. Spelling 

3. Writing 

4. Geography 

5. Methods of communication 

(a) Correspondence 

Business letters 
Social letters 
Post-office regulations 

(b) Telephoning 

(c) Telegraphing 

II. Hygiene 

1. Personal cleanliness 

2. Physical culture (gymnastics) 

3. Food — choice, food value, cooking, serving 

4. Emergencies, treatment of injured 

III. Civics 

1. Systems of government 

(a) Merits of democratic government 

(b) Patriotism 

(c) Citizenship 

2. History 

(a) Origin of legal holidays 

(b) Lives of statesmen 

IV. Mathematics 

1. Four fundamental operations in arithmetic 

2. Tables of weights and measures 

3. Money; Bills and currency 

4. Work reports 



15° LABOR MAINTENANCE 

5. Personal expense accounts 

6. Bank accounts 

V. Practical application of language 

1. Evolution of an undergarment 

(a) Growth of cotton plant 

(b) Manufacture 

Spinning operation 
Bleaching 

(c) Weaving 

(d) Shipping 

2. Alphabet as a guide to common things 

(a) Advertisements 

(b) Dictionary 

(c) Directory 

In addition to the school work the firm encourages social 
hours, wholesome entertainment, dancing, gymnasium work, 
and other activities which makes for social development. 1 

Utilizing All Means of Approach 

From one point of view it may be said that every subject 
discussed in this book is a vital part of any Americanization 
plan. Obversely, no particular phase of the problem can be 
treated alone. 

The work of the American Rolling Mill Company is based 
on the right principles. All the activities of the personal 
relations department, with its divisions — medical, safety and 
sanitation, mutual interest, employment and training — each 
in charge of a specialist, are used in the Americanizing process. 



1 The following companies, among others, are also carrying on Americanization 
work in their plants: Sidney Blumenthal Company, Shelton, Conn.; Bird and Son, 
Inc., East Walpole, Mass.; Yale and Towne Manufacturing Company, Stamford, 
Conn. ; Western Electric Company, Chicago, 111. ; Commonwealth Steel Company, 
Granite City, 111.; Walter M. Lowney Co., Boston, Mass.; Illinois Steel Works, 
Joliet, 111.; Inland Steel Company, East Chicago, 111.; General Chemical Company, 
Bayonne, N. J.; General Electric Company, Schenectady, N. Y. ; Joseph and Feiss 
Company, Cleveland, Ohio; United States Steel Corporation, Braddock, Pa.; Green- 
field Tap and Die Corporation, Greenfield, Mass.; Ellsworth-Collieries Company, 
Ellsworth, Pa.; Pressed Steel Car Company, South Bethlehem, Pa.; Graton and 
Knight Manufacturing Company, Worcester, Mass. ; Strathmore Paper Company, 
Woronoco, Mass. ; Hartford Ruhber Works Company, Hartford, Conn. ; Swift and 
Company, Chicago, 111.; and American Optical Company, Southbridge, Mass. 



FURTHER AIDS FOR AMERICANIZATION 15 I 

The whole program comes under the supervision of the vice- 
president. A foreign club, supported by the company, offers 
a place for foreign societies to meet and provides entertain- 
ments. The secretary of the club is a capable linguist and 
devotes his whole time to getting the foreign-born workers 
adjusted to this new country. 

A strong influence on the workers is the housing policy 
of the company which provides several hundred neat cottages 
that are sold or rented to foreign-born workers on easy pay- 
ments. A large percentage of the men have become home- 
owners. 

Factory Activities 

Under the most favorable conditions, Americanization is 
difficult work. Energetic employers will look round for all 
sources from which aid may be derived. Every possible 
activity within the factory in which the worker can take part 
and which may facilitate the work should be tried. For when 
co-operation of managers with workmen is a feature of the 
work the probability of success is greater than when the work 
is carried on single-handed. This fact cannot receive too 
great emphasis. 

Noon-Hour Meetings 

Noon-hour talks, for instance, are a valuable means of 
impressing the foreign-born with some of our American ways. 
The plan is to get good speakers representing the various 
nationalities to dwell on the importance of learning about 
America and becoming citizens. In some plants, as in the 
United States Metal Refining Company of East Chicago, 
these talks are accompanied by suitable motion pictures. There 
are many good films which are available at small expense. 2 



2 The Community Motion Picture Bureau, 46 West 24th Street, New York, 
makes a specialty of selected films for educational purposes. 



152 



LABOR MAINTENANCE 




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77. I FILL the tub with water. 

(POLISH) ' 

Aj fyl di tob uyt uoter 
Ja NAPELNIAM wanne woda. 
(HUNGARIAN) 

Aj fill to tab wit woater. 
En MEGTOLTOM a fiirdokadat vizzel. 
(ITALIAN) 

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RIEMPIO la bagneruola d'acqua. 
(YIDDISH) 

.■tfCKll WW 3KD H > fP B "K 77 
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78. I TAKE off my clothes. 

(POLISH) 

Aj tejk of maj klouz 

Ja ZDEJMUJ^. moje ubranie. 

(HUNGARIAN) 

Aj tek aff maj kl6tz 

£n LEVETEM a ruhaimat 
(ITALIAN) 

Ai teic af mai clodhy. 

LEVO via i miei vestiti. 
(YIDDISH) 

.VVp "0 C|$ [3 * - n D <'K 78 

B>im n skik d n y 3 tk 

79. I GET Into the bath tub. 

Jr net in/o Me vaM fuv. 

(POLISH) 

Aj giet yntu di bet tob 
Ja WCHODZEj do wanny. 

(HUNGARIAN) 

Aj get intu to bettab. 

BEMEGYEK a fiirdokadba. 
(ITALIAN) 

Ai ghet intu dhz' beth tob. 

Io mi METTO nella bagneruola. 
(YIDDISH) 

.skb ays *i isrK ia y a «k 7!) 
•skb sj>kii pie pnic n y j ^k 

80. I WASH myself with soap. 

(POLISH) 

Aj uosz majself uyt soup 
Ja MYJEj si§ mydlem. 
(HUNGARIAN) 

Aj was majszelf wit sz6p. 
En MEGMOSOM magam szappanna!. 
(ITALIAN) 

Ai u6scz majsself uidh sowp. 
,Io mi LAVO con sapone. 
(VinDISH) 

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Figure 8. — Pictorial English Lessons with Phonetic Translations. 



FURTHER AIDS FOR AMERICANIZATION 153 

One such set of films is called the "Development of our 
Nation' ' and covers such topics as the Discovering of America, 
the Settlement of the Colonies, Lincoln, Our International 
Mind, the Conservation of Home — and of Health, and The 
Service of the Group; this latter illustrating the growth of 
the community idea and the new spirit of getting together 
for work and play for the welfare of all. 

Plant Newspapers 

The employees' newspaper or plant magazine (see Chapter 
XX) is a valuable asset in this work. Where there is a 
large number of non- English-speaking workers in a plant, 
it has been found useful to devote a few columns of the paper 
to Americanization work, beginning with talks in the language 
of the workers, accompanied by the English translation in 
parallel columns. Later on everything is printed in English. 
Another method is to print pictorial lessons in English giving 
phonetic translations in several languages. An illustration 
(Figure 8) is here given, of a lesson which appeared in "The 
Day's Work" published for foreign-born students. 

Stories published in the plant paper of successful men 
who emigrated to this country and made their way to the 
front ranks of Americans add to the effectiveness of Ameri- 
canization work. Many learn better by force of example than 
by didactic methods. 

Pay Envelopes 

A very effective way in which to reach foreign-born 
workers is through the pay envelope. A message to the worker 
in this way is sure to get his attention. Some firms, like the 
Pennsylvania Coal and Coke Company, Cresson, Pennsylvania, 
the W. H. McElwain Company, the American Chain Com- 
pany, H. C. Frick Coke Company, the Scovill Manufacturing 
Company, Waterbury, Connecticut, and the DuPont Fabrikoid 



154 



LABOR MAINTENANCE 



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FURTHER AIDS FOR AMERICANIZATION 



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156 LABOR MAINTENANCE 

Company, have found a series of civic lesson leaflets used in 
this way productive of good results. These leaflets, illustra- 
tions of which are here given, may be obtained from the 
National Americanization Committee, New York City, (see 
Figure 9) and are available in several languages. A plan 
adopted by the General Fireproofing Company, Youngstown, 
Ohio, is that of inserting in the pay envelope a special folder 
urging upon the men the advantages of learning English. This 
company has printed a booklet called "A Permanent Job" and 
has had it translated into foreign languages so that company 
policies and opportunities are made clear to every worker. 

Plant Census 

The plant census is of great assistance to employers who 
want to start Americanization work right, especially in 



Name. 



Country of Birth . How long in U. S. 

Family here English: Speaks Reads Writes. 

Knowledge of what languages 



Naturalized 1st papers (date) 2d papers (date). 

Intends to remain in U. S Desires citizenship 

Desires instruction in English 

Schools attended 



Date of this information. 



Figure 10. Americanization Census Card 

The use of this card facilitates the work of determining the number and nationality of 

foreign-born workers in the plant, the extent of their education, and how far they have 

gone in becoming naturalized citizens. 

determining the number and nationality of foreign-born, the 
extent of their education, and how far they have gone in 



FURTHER AIDS FOR AMERICANIZATION 157 

becoming naturalized citizens. In making such a census an 
Americanization card (see Figure 10) will be helpful. 

These cards should be summarized on a blank similar to 
that reproduced here (see Figure n). It would be well to 
make such a census each year. 

The Brown and Sharpe Company's Work 

A noteworthy effort in Americanization is the work of 
the Brown and Sharpe Manufacturing Company at Provi- 
dence. The first step was a naturalization census of employees 
in conjunction with a campaign to impress the men with the 
importance of citizenship. Following the census, a series of 
announcements and follow-up letters were sent to employees, 
noon-hour talks were given to arouse the interest of workmen, 
and the foremen met in conference, with the president of the 
company as chairman, to discuss methods of arousing interest. 
The foremen were held responsible for the interest of those 
coming under their supervision. A special leaflet, "Questions 
and Answers for Coming Citizens," formed part of the cam- 
paign. Company time is allowed for filling out applications 
for naturalization. 

Out of 1,312 non-citizens, 1,106 applied for their papers 
and those who did not apply were either too young or too 
old or intended returning soon to the country of their birth. 

Naturalization 

There is one danger in connection with naturalizing the 
worker, however, that should be guarded against. Some firms 
now require for employment that an applicant be naturalized, 
and that persons already employed take out their second papers. 
One such firm boasts of its "100 per cent Americanization" 
as meaning complete citizenship of its workers. Such a prac- 
tice indicates a confused idea on the part of the firm of what 
Americanization means. Naturalization does not by itself 



158 



LABOR MAINTENANCE 



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FURTHER AIDS FOR AMERICANIZATION 159 

produce Americans. It gives political rights but it does not 
insure civic responsibility. Compulsory naturalization, like 
compulsory attendance at classes, will not get very far in 
promoting good-will or labor stability. It ignores the funda- 
mental purpose of Americanization work as previously dis- 
cussed. 

It is most important that naturalization should be encour- 
aged and assisted. We want the foreign-born to become a 
citizen because, as Secretary Lane says: 

We want the people who live here to feel a responsibility 
for the conditions that exist here, and that their complaint 
is against themselves, not against another class in the com- 
munity. Because if America is not good enough to hold 
the entire loyalty and affection of anyone he should make his 
living in the country which has his affection and loyalty. 

But we want only citizens who understand their obliga- 
tions. If our new citizens do not appreciate their duties, the 
results may be disastrous, for these new voters will become 
the easy prey of designing politicians, and others who seek 
to impose impossible schemes upon the country. The whole- 
sale naturalization of those who do not fully understand our 
ideals is likely to make the ballot a tool of destruction rather 
than an instrument for the common good. Americanization 
cannot be brought about through coercion or economic pres- 
sure. Democracy does not grow in that way. 

Delaware Study of the Naturalization Problem 

A better way of approaching the problem was worked out 
recently by the state of Delaware through its Council of 
Defense. The council discovered that in the years 1910 to 
19 18, only 967 foreign-born persons were naturalized in the 
state and 300 of these were from English-speaking countries ; 
and that 8.1 per cent of the whole population of the state 
was illiterate. 



160 LABOR MAINTENANCE 

A census of aliens showed that in one industry employing 
227 foreign-born workers, 216 had not been naturalized and 
193 had never taken out their first papers. Most of these 
had been in the country at least ten years. In another industry 
employing 1,181 foreign-born, only 256 were naturalized. 
Of the total employed 213 could not read or Write their own 
language and 513 were unable to speak English. Over 1 per 
cent of the whole population of the state is represented by 
the families of the foreign-born workers in this one plant. 

Co-operating with the Community 

The Delaware Council of Defense came to the conclusion 
that Americanization work in factories is apt to be futile 
if not closely linked up with the community as the final benefi- 
ciary of such effort. As the report states, "All Americaniza- 
tion work, whether official or unofficial, must be based upon 
the definitely ascertained problem in the locality — the number 
there, their degree of education, their particular need, their 
place of residence, and of work." Unless workers have the 
living, working, housing, and schooling conditions which will 
make them content to stay in an industrial community with 
their wives and children, industry will suffer and so will the 
American nation. Social unrest is born of indifference to 
social needs. Employers must take cognizance of conditions 
which promote the "drifter" and the casual and make him a 
danger to society. They must relate their business to the 
community welfare so that the community may offer them the 
best possible kind of worker, the worker who becomes an 
asset rather than a liability. 

The employers of a community should whenever possible 
get together with representatives of the working forces and 
of the community as a whole, to work out plans and methods 
of meeting the problems of the alien in industry. Much 
effort, time, and money will be saved by such co-operation, 



FURTHER AIDS FOR AMERICANIZATION l6l 

and better results will come than if each agency operated 
alone. 

The council also believes that: 

A state policy towards the foreign-born is a desirable 
and perhaps essential element in an Americanization scheme, 
and that it is the duty of the employer to study his labor 
turnover so carefully that he will be able to determine 
wherein his responsibility lies for the wastage of labor and 
men. Legislation regarding immigrants should be based upon 
facts brought out by careful studies made by employers in 
their plants. 

Assistance from Local Governments 

A large and growing number of cities and states are co- 
operating with industry and the federal government in making 
Americanization measures effective. To mention a few notable 
instances, the city of Chicago offers three types of American- 
ization work: 

i. The public evening schools of which there are 33 
centers. 

2. Factory classes. (16 factories are co-operating with 

the public schools in teaching English.) 

3. Day classes for adult foreign-born women at school 

buildings. 

Cleveland has adopted the principle of sending teachers 
to places where foreign-born persons work. Akron has an 
Americanization committee of one hundred representing prac- 
tically every industrial interest and racial group in the city. 

Excellent work in Americanization has been done by the 
Solvay Process Company, Syracuse, New York, where the 
classes are conducted in a building near the factory in co- 
operation with the community. Workers who attend these 
classes receive their regular wages for the time. Courses 



1 62 LABOR MAINTENANCE 

of study are shaped with reference to the special needs of the 
community. 

The Public Library 

The public library is an agency of great value in helping 
foreign-born. Libraries can help materially by setting aside 
certain books about this country, its ideals, literature, lives 
of great Americans, and other phases in American life. It 
would be well for those who conduct classes for workers to 
take their pupils through the local library, explain how books 
may be drawn, and point out the different kinds of books 
which are available. Many libraries arrange exhibits of in- 
terest and value to the worker. An effective method of 
developing the interest of workmen in drawing books from 
the library is to arrange therein special exhibits of handicrafts 
and arts of the various nations. Such exhibits have the 
additional effect of increasing the respect of the American 
worker towards the men who come from the lands represented 
by the exhibit. 

Assistance from Chambers of Commerce 

Great impetus to the Americanization movement is being 
given by chambers of commerce, and by other trade and 
civic bodies in all parts of the country. These associations 
of business men are realizing the importance of protecting the 
newcomer in our land from the influences which are at work 
to exploit his ignorance of our language and customs. Com- 
mittees working on a practical basis, are getting results which 
reflect themselves in marked ways upon their communities. 
The Detroit Board of Commerce, for example, arranged an 
"America First" pageant on Washington's Birthday in 19 17. 
There were 200 performers who pictured what the foreigners 
had contributed to art and recreation in America and what 
free America offered to all. All of the recreation centers 



FURTHER AIDS FOR AMERICANIZATION 163 

were asked to send their representatives, native and foreign, 
to this pageant to learn of the forces which bring immigrants 
to America's shores. Liberty, Education, the Public Library, 
Industry and Recreation, and Opportunity were personified 
and as the representatives of the various nations came upon 
the scene, the leader of each group exchanged the foreign flag 
for that of the United States. 

Syracuse, New York, through its Chamber of Commerce 
Committee, adopted a very comprehensive plan which included 
a city-wide campaign with the co-operation of employers to 
increase the attendance at public night schools, the establish- 
ment of information and complaint bureaus for immigrants 
in each night school, the preparation of a guide for immigrants 
to be distributed free to alien workers and direct aid in making 
and filing papers for naturalization. 

The Chamber of Commerce of Cleveland has been very 
active in promoting the Americanization program, a feature 
of which is an Americanization Institute for teachers of im- 
migrant classes. The enrolment of this Institute numbers over 

450. 

The Chamber of Commerce of the United States has done 
good work in assisting local trade organizations in planning 
Americanization activities. 

Massachusetts Department of University Extension Bulletin 

The whole question of how industries may co-operate with 
those in charge of public education in drawing out the best 
in the immigrant, and in making him an active part of the 
citizenship of this country is treated in a special bulletin of 
the Department of University Extension of Massachusetts 
which urges the following points: 

1. Establish active co-operation with local school boards to expand 
the educational system by establishing evening schools, day 



164 LABOR MAINTENANCE 

classes, or factory classes for immigrant employees wherever 
necessary and practicable. 

2. Assist the local school boards to obtain sufficient funds from the 

public appropriations for conducting this work wherever the 
present sum available is inadequate. 

3. Appoint an official, superintendent, or foreman, to be charged 

with the duty of urging immigrant employees to attend school, 
learn English, and get instruction in civics. Such official can 
check up attendance and act as a clearing-house of information 
for employees and for teachers and principals. 

4. Register and list for the use of school officials and teachers all 

employees who cannot read or write English. As new employees 
in need of English instruction are hired, their names should be 
added to this list. 

5. Advertise the school facilities: 

(a) By notices printed in the foreign languages inserted in 

the pay envelopes. 

(b) By notices on the bulletin boards. 

(c) By personal solicitation on the part of foremen or fellow- 

workmen. 

(d) By "plant meetings" at which school officials and others 

talk to the employees on the advantages of learning to 
speak, read, and write English. 

6. Adopt one of the following policies : 

(a) Give bonus for regular attendance upon English classes. 

(b) Increase wages of immigrant employees making them- 

selves more efficient by learning English. 

(c) Give preference in making promotions to those increasing 

their efficiency by learning English. 

(d) Allow time off on the days the school is in session. 

7. Co-operate with all agencies in Massachusetts and local com- 

munity in the effort to make English the language of Massa- 
chusetts. 

8. Preach the doctrine that each individual should be willing to learn 

English for the privileges of liberty he enjoys in this country, 
and the opportunities he receives for himself, his children, and 
his fellow countrymen. 



CHAPTER XII 

THE WORKER'S HEALTH 

The Conservation of Human Energy 

When modern industrial management began to concern 
itself actively with questions of the worker's health and 
physical fitness, it did not do so for sentimental, but for truly 
scientific reasons. What really underlies this interest in work- 
ing conditions is a determination to conserve man-power and 
put an end to the waste of human energy. Now that the world 
war has consumed so many millions of productive men in 
their prime, and incapacitated many millions more, the whole 
question has taken on a new importance. In England at the 
present time the national health policy with regard to working 
and living conditions of the industrial population is receiving 
a great deal of attention. Before the war there was scarcely 
any interest in the subject. There is another requirement 
to be met: shorter hours now common in industry necessitate 
greater intensity and intelligence of effort. This can be accom- 
plished only under good salutary working conditions. 

Benefits Accruing to Industry 

To a management that views its problem broadly, men 
are the first consideration. The introduction of present-day 
production methods and tools led to a new emphasis on the 
worker's physical surroundings and personal condition, for the 
very life of costly machine tools and equipment depends, as 
the management well knows, on the physical and mental condi- 
tion of the men who use them. We can go further and 
maintain that the mental health, the attitude of the worker 

165 



166 LABOR MAINTENANCE 

toward his work and his associates, is founded on the state 
of the worker's physical health. These mental attitudes find 
expression in the daily workshop contact, and thousands of 
unnoticed but decisive troubles arise from failure to take them 
into account. No organization can long afford the explosions 
resulting from overstrained nerves, careless personal habits, 
and the wear and tear of incompatible tempers. 

Spirit and ambition vanish when the worker's health is 
poor. On the other hand, as Mackenzie King has pointed out, 
industrial peace and industrial efficiency are oftentimes the 
result of salutary working conditions. Someone has shown 
that bank clearings vary in different parts of the country in 
proportion to death rates. It is very clear that wages, work 
capacity, and productivity are contingent upon the worker's 
health. 

Many up-to-date managers take pride in the attractiveness 
of the physical environment which their plants afford, and 
in the general fit appearance of their working forces, and 
not a few managers find a priceless reward in knowing that 
work conditions are an aid rather than a hindrance to well- 
being. When employers declare that they are engaged in 
building men rather than turning out products, they mean that 
industrial activity with them is a form of community service. 
They measure their prosperity by the advance which their 
fellow-workers, their employees, make in health, contentment, 
skill, and citizenship. 

But there are immediate practical results, which should 
never be overlooked. Man maintenance pays, for it is the 
first step in plant maintenance. In a race between a large 
bank account and a solid body of men welded together for 
a common purpose, the latter are sure to win. The size of 
the business is not as important in the long run as the man- 
building policy which directs it. The force of this truth has 
come home to many a man too late. 



THE WORKER'S HEALTH i6 7 

New Qualities Required of Managers 

Within recent years there have been great changes in the 
specifications used in the appointment of men to supervisory 
positions. As always, their technical competence has been 
given due weight, but in addition, questions such as these 
would be taken into account: How does he treat men? Is 
he considerate and observant of others ? Does he upset others 
by show of temper? Will he get "on the nerves" of his men? 
Many a labor trouble can be dated from the time a foreman 
came into power whose methods were a burden to the flesh. 

The fitness of a manager to manage is tested by the breadth 
of his grasp and definition of his job. If he be a first-rate 
technical man concerned exclusively with his own specialty, 
it may be well to give him charge of the technical work, but 
it would be a mistake to place a body of men under him unless 
he can grow to a larger conception of his relation and the 
relation of his own specialty to those who are to take his 
orders. 

A great thinker has said: "Health is contagious. ,, Ob- 
viously the man in charge of others has a peculiar responsi- 
bility for reflecting the fitness, self-control, and sustained and 
disciplined skill he expects of others. 

Loss of Time from 111 Health, Accidents, etc. 

It is clear to all persons acquainted with industrial condi- 
tions that not only industry, but the community, and the 
individual worker suffer through the loss of the worker's 
time from ill health, accidents, etc. While this loss cannot 
be computed in dollars and cents for any number of establish- 
ments, the total is very large. Industry has a decreased 
production, not only because experienced workers may be laid 
off, but because inexperienced persons may, and often must, 
be employed in their stead with the added cost of training 
and lessened output. The community suffers because some 



1 68 LABOR MAINTENANCE 

of its members are enforcedly idle, and its prosperity to that 
degree is affected. With this in mind let us consider briefly 
a few of the actual facts. 

Dean John H. Wigmore of the Northwestern University 
School of Law, is authority for the statement that a majority 
of the civil cases in the courts of law today arise from injury 
by industrial accidents. It is difficult to appreciate the great 
cost of this fact to the state, the worker, and the employer, 
and the loss of time consumed in litigation by all the parties 
involved. 

Number of Industrial Accidents 

The state of Massachusetts has about 175,000 cases of in- 
dustrial accidents reported to its Industrial Accident Board 
each year, and the average loss of time per person is upwards 
of one week. One hundred and seventy-five thousand weeks 
at $20 per week, as a fair estimate, means $3,500,000. Yet 
this but poorly indicates the total loss arising from the situa- 
tion. 

The basis for the need of social insurance is unemploy- 
ment, a considerable amount of which is caused by accident 
and by sickness arising from conditions of ill health in indus- 
try. The following table from "Social Insurance," by I. M. 
Rubinow, shows the situation, practically up to 19 10, in Euro- 
pean countries. 

The imposing fact of this table is that in eleven European 
countries annually some 2,000,000 industrial accidents occur, 
and of these over 22,000 are fatal. 

Effect Upon Labor 

The individual worker suffers most of all, because tem- 
porary idleness deprives him of daily earnings and lessens 
his efficiency in his particular work. In many cases accidents 
are of such a nature as to make it necessary for the worker 



THE WORKERS HEALTH 



169 



to learn a new occupation, with the possible loss of several 
years' time. Accident insurance and social insurance are 
striving to ameliorate these evils. 

Annual Number of Industrial Accidents in the Main 
European Countries 



Country 



Austria 

Belgium 

Denmark .... 

France 

Germany .... 
Great Britain 

Italy 

Norway 

Russia 

Spain 

Sweden 



Year 



Accidents 



Total No. 



1909 


129,186 


1,252 


1908 


159,499 


510 


1911 


3,869 


207 


1909 


434,450 


3,101 


1910 


672,961 


8,857 


1910 


167,653 


4,704 


1910 


227,768 


759 


1909 


5,909 


136 


1906 


212,167 


1,834 


1909 


28,944 


210 


1906 


15,041 


249 



Fatal 



In 19 10 the federal bureau of labor conducted an investiga- 
tion of the causes of unemployment, dealing with 24,402 repre- 
sentative wage-earners' families. The following facts show 
the part that accident and sickness play in unemployment, 
probably at much the same rates in 19 19 as in 19 10. 



New Conception of Health Work 

A point to be specially noticed in regard to these statistics 
is that it is not merely accidents which count. It is significant 
that at first the work of the various plant health departments 
consisted almost exclusively of taking care of injuries result- 
ing from accidents. Gradually, however, the fact came to be 
recognized that the general level of health was also to be 
watched and safeguarded in the interest of good production. 
The results of newly established medical departments that 



170 



LABOR MAINTENANCE 



worked along these lines were too conspicuously good for any 
doubt to be entertained as to the value of such activities. 
What had hitherto been guesswork with respect to the human 
factors in sustained production gave way to data such as we 
have summarized in this chapter. Records of attendance 
when analyzed afforded a new insight into the problems of 
organization. 

Per Cent of Heads of 12,154 Families of Workingmen 
Idle in 19 10, by Principal Causes 



Causes of Idleness 



Accident 

Bad weather 

Establishment closed 

Sickness 

Sickness and establishment closed 

Sickness and slack work 

Sickness and vacation 

Sickness and unable to get work. . 

Slack work 

Strike 

Unable to get work 

Vacation 



Per Cent Idle 


Average 


Based on Heads 


Weeks 


of Families 


Idle 


1.66 


8.98 


2.25 


9 


32 


4-30 


8 


58 


22.54 


7 


7i 


•95 


11 


91 


1.67 


10 


33 


1. 11 


5 


32 


3.70 


14 


15 


13-05 


9 


79 


2.07 


9 


^5 


3329 


10 


90 


6-45 


2 


61 



This new conception of the value of the health of the 
worker led to the study of the working and living conditions 
of the industrial population, for in order to maintain a high 
standard of health among the workers, right sanitary and 
hygienic arrangements must be made (see Appendix C). It 
is this preventive, as distinguished from remedial treatment 
of industrial diseases that is demanding the attention of in- 
dustry at the present time. This is especially true when 
working conditions may lead to industrial or occupational 
diseases. 



THE WORKER'S HEALTH 17* 

There are thus two principal phases of the health work 
in a progressive plant : 

1. Giving the worker medical service and supervision. 

2. Improving and maintaining healthful working condi- 

tions. 

Industrial Medicine — The First Phase 

The first phase, commonly known as industrial medicine, 
embraces a wide range of medical activities including diag- 
nostics, internal medicine, emergency and orthopedic surgery, 
Roentgenology, laboratory technic and interpretation, ortho- 
dontia, dental prophylaxis, the well-known specialties of the 
eye, ear, nose, and throat, and the other branches of practice. 

Industrial Hygiene — The Second Phase 

With the increased emphasis on the physical condition 
of the worker has come an enlightened attitude on the ques- 
tion of the worker's physical surroundings, and so the second 
phase of health work is becoming increasingly important. In 
the main, industrial hygiene has to do with the lighting and 
ventilation of the shop, cleanliness, and right sanitary provi- 
sions — toilets, lockers, drinking fountains, and other similar 
arrangements. Not only are these conditions important in 
the shop, but equally so in the home of the worker and 
naturally in the community. 

The Industrial Physician — A New Profession 

So important is the work of guarding the health of em- 
ployees that a practically new profession of industrial physi- 
cian has arisen and is receiving the attention of the best 
minds in the practice of medicine as well as the earnest con- 
sideration of the leaders of industry. 

The industrial physician has a perfectly definite function 



172 LABOR MAINTENANCE 

to perform. His work allies itself with the other work of 
the employer in making greater output possible. He is con- 
cerned with the work of placement of employees, safety ac- 
tivity and the elimination of hazards caused by physical 
deformities, fatigue, and the nature of the tasks engaged in 
by the worker. His duties include the protection of employees 
from communicable disease and the prevention and treatment 
of minor ills which cause loss of time and production. Where 
the concern is large, surgical treatment of injuries is one of 
the responsibilities placed upon him. Or there may be prob- 
lems of community sanitation which require his service. In 
short, everything which affects or may affect the health of 
the worker and his steady attendance on his job comes within 
the field of the industrial physician. 

There are several types of industrial physicians. Owing 
to the lack of well-defined standards we have all sorts of 
trained and untrained nurses placed in positions of respon- 
sibility in the handling of medical cases in industrial plants. 
We find physicians who have no personality, no educational 
or scientific background, no initiative, men who are classed as 
"finger wrappers" by the medical profession. On the other 
hand we find men of capacity and ability who are specially 
fitted for the new profession and who are devoting their 
lives to it. 

Many special medical departments which deal with all the 
health problems of the worker might be mentioned. At the 
Eastman Kodak Company, for example, the medical depart- 
ment takes immediate and subsequent care of all injuries to 
employees incurred while at work; gives immediate attention 
to cases of illness occurring at the various plants, and if it 
is found necessary to send the individual home he is referred 
to his own physician. All applicants for employment are 
given physical examinations. All employees on the pay-roll 
are given periodic examinations. A follow-up system of re- 



THE WORKER'S HEALTH 173 

examinations of defectives is in operation to make sure that 
medical or hygienic advice given is carried out. Where ab- 
sence from work is due to illness a representative of the 
medical department makes personal visits to the home of the 
worker. 

Legislation versus Voluntary Action 

If business judgment does not bring about the needed 
physical provisions, legislation will probably do so. Hundreds 
of laws bearing on the subject of health and human conserva- 
tion have been passed within the past decade. Strong efforts 
are now being made toward securing standard enactments that 
will bring under state control the conditions that surround 
workers in mills, mines, lumber camps, shops, and other places. 
Progressive organizations, however, will not wait for legisla- 
tive standards to tell them what to do. As was true in the 
case of workmen's compensation laws, they will keep far ahead 
of legal requirements. 



CHAPTER XIII 

ORGANIZING A PLANT HEALTH DEPARTMENT 

Work of the Health Department 

The increased attention being given by employers to im- 
proving industrial relations is finding expression in the exten- 
sion of medical work with employees through organized 
departments for the purpose. The extent of the work in 
different plants varies largely according to their nature and 
size. Medical service ranges from the small first-aid room 
or industrial clinic to the well-equipped modern hospital with 
a full staff and asssistants in the case of large enterprises 
which are responsible for the existence of the community 
surrounding them. 

The field of industrial medicine is widening to include 
many activities which heretofore were foreign to industrial 
organization. The work of a modern health department in- 
cludes : 

1. Service for employees who need attention during the 

day. 

2. Regular inspection of plant conditions to discover 

sources of disease or conditions dangerous to the 
physical welfare of workers. 

3. Physical examinations of new and old employees. 

4. Co-operation in the matter of restoring the productive 

capacity of the injured and providing for com- 
pensation for such injuries. 

5. Co-operation with the foremen on the health prob- 

lems of workers. 

174 



ORGANIZING PLANT HEALTH DEPARTMENT 175 

6. Co-operation with the health authorities of the city, 

state, and nation. 

7. Scientific studies of fatigue, occupational disease, 

and methods of treatment of injuries as well as 
their prevention. 

8. Health education of employees. 

9. Home treatment of employees who are ill or injured. 
10. Follow-up of employees who return to the plant after 

serious illness or physical disability. 

Not only does the health department function as outlined 
above but it has a definite responsibility in connection with 
the employment department and the service department in 
seeing that workers are properly placed and the turnover of 
labor reduced. 

Relation to the Plant 

The first question that comes up in a discussion of the 
organization of the health department is that concerning its 
relation to the rest of the organization of the plant. To 
whom should the head of this department report ? The answer 
to this can hardly be derived from a study of the experience 
of industrial concerns owing to the haphazard manner in 
which health departments have come into being. Dr. C. D. 
Selby of the United States Health Service recently made a 
study 1 of the health activities of 170 industrial concerns and 
found that: 

1. In 71 of the plants visited — 42 per cent — the health 
department functioned under an official supervising produc- 
tion (the superintendent or works manager, or the head of 
production). 

2. In 36 plants — 21 per cent — the work was directly under 



1 "Studies of the Medical and Surgical Care of Industrial Workers." United 
States Public Health Service, Washington, D. C. 



176 LABOR MAINTENANCE 

an official dealing with compensation matters, such as the 
legal department, compensation or claim department, treasurer, 
secretary-treasurer, auditor, or clerk. 

3. In 31 plants — 18 per cent — an official representing the 
administration of the plant had supervision of the work: the 
president, the general manager or the director of plant ad- 
ministration. 

4. In 28 firms — 15 per cent — some official having juris- 
diction over labor supervised the work: the director of wel- 
fare, the employment manager, the head of the service depart- 
ment, the head of the relief department, the industrial service 
manager, the paymaster, the employment and welfare man- 
ager, the head of the safety, compensation, and hospital depart- 
ment, the head of the relief surgery and employment depart- 
ment, or the head of industrial relations. 

5. In one of the four plants remaining, the work was 
under the supervision of the office manager; under the safety 
department in two of these firms, and under the engineer 
in the other. 

It is a significant fact that 71 of the firms studied had 
those in charge of health work under the supervision of men 
whose main job was production. Where a plant is small and 
a functionalized employment and service department is hardly 
possible because of the overhead expense, there is good reason 
why health activities should be controlled by the superin- 
tendent, but where large numbers are employed the health 
department should properly function under the manager of 
industrial relations or the employment and service manager. 
Again, to have health work under the supervision of the 
claim department is to destroy its possibilities as a factor in 
labor maintenance. It is hardly possible that employees, in 
such a case and under such necessarily biased conditions, will 
have the confidence in the management required to make the 
work a success. 



ORGANIZING PLANT HEALTH DEPARTMENT 177 

The Industrial Clinic or Emergency Hospital 

The custom in most plants which have special rooms and 
equipment for handling minor injuries and ailments is to call 
these quarters "the dispensary.'' While, from the standpoint 
of medical terminology this term is correct, it is objectionable 
to the worker who lives in a large city and to whom a dis- 
pensary stands for a charitable enterprise. There is the same 
psychological objection to the term "hospital" or to the term 
"clinic." 

Dr. George E. Tucker, one of the pioneers in industrial 
medicine, suggests the name "medical unit" as best suited 
to describe the quarters where medical work is done in a 
plant. This term may be applied equally to what is now called 
the first-aid room or to the most extensive hospital building 
and equipment. So in a large plant there may be several 
medical units in different parts of the establishment, each 
having its identifying number. Each unit represents a unit 
of service. 

The term "first-aid room" has been found unsatisfactory 
in cases where only a nurse is employed to treat minor injuries, 
but where the room has equipment beyond the ordinary 
first-aid cabinet. This may be illustrated by the story of a Con- 
necticut plant employing about 3,000. A room in one of the 
buildings was set aside for emergency work and was equipped 
with a cabinet containing medical supplies and remedies for 
simple ailments, a bed, two tables, some chairs, basins, and 
other utensils. The work was in charge of a young man, a 
graduate nurse who was employed full time at the plant by 
an insurance company. This nurse was very well liked by 
the men in the plant' and did excellent work. The nurse's 
quarters were known as the "first-aid room." In spite of the 
ability and personality of the nurse it was found that the 
men did not have the fullest confidence in the institution of 
the first-aid room. The men felt that this was not the place 



I7 8 LABOR MAINTENANCE 

for them if they thought they had some real trouble and so 
consulted their private physicians very often on matters 
which were minor and could just as well be taken care of by 
the company nurse. The whole trouble was lack of confidence 
based on the idea that "first-aid" meant only a "kit" and not 
professional treatment. The experiment was tried of changing 
the name of the room to "emergency hospital" without making 
any special announcement of the change. The nurse, who 
had been in the habit of doing his work in his shirt sleeves, 
was instructed to wear his white coat at all times. In a few 
weeks there was a noticeable change in the attitude of the 
workers. One cannot say that this change was owing entirely 
to the change in the name of the quarters for medical aid, 
but events pointed to the fact that the name of the place had 
a real psychological effect upon the workers. 



Equipment of Emergency Hospital 

The equipment of the modern emergency hospital in in- 
dustrial plants varies from the "first-aid to the injured" 
cabinet to full outfits for major surgical operations. The well- 
equipped health department has dressing-stands of enameled 
steel or with plate-glass tops, and sometimes dressing- 
tables on wheels; stationary wash-bowls, behind which solu- 
tions and ointments are kept on shelves; and tiers of drawers 
nearby in which are stored rolls of bandages, gauze, and 
cotton. In some cases there are special swivel-seated chairs 
and stools for patients. Foot and arm rests are also provided 
for minor operations and dressings. In some industries, in 
which the feet of workmen become dirty, foot tubs are in- 
cluded in the equipment of the medical unit. These and other 
facilities are provided for the antiseptic treatment of all sorts 
of wounds and injuries. There are supply cabinets, separate, 
or, in a few recent establishments, built into the walls of 



ORGANIZING PLANT HEALTH DEPARTMENT 179 

a room, for the storage of surgical and medical instruments, 
medicines, and supplies. 

The small clinic may give first aid in case of injury and 
send the patient to a local hospital for operation or treatment 
if the case is at all serious. This method is followed by the 
Fore River Plant of the Bethlehem Shipbuilding Corporation, 
at Quincy, Massachusetts, although the plant has an excellent 
clinic and a full staff of physicians and attendants. The more 
difficult cases of injury are sent to the Quincy City Hospital. 
It seems better, perhaps, that such patients should be treated 
away from the busy shipyard. There are, however, operating 
tables, nitrous oxide apparatus, and X-ray machines in many 
modern industrial clinics. Sometimes there are found vibra- 
tors, baking ovens, violet-ray machines, and therapeutic lamps. 
The Carnegie Steel Company and other big concerns in which 
the hazards of employment are great have most elaborate and 
minutely equipped plant hospitals. 

The modern industrial plant which employs hundreds or 
even thousands of people, and in many cases determines the 
general welfare of its community finds it good business to 
seek out and adopt the most modern methods of restoring 
injured employees to normal health and efficiency. 



Minimum Requirements of the Department 

In this connection the report of a special committee on 
factories made to the Chicago Tuberculosis Institute in 191 3 
is of practical importance. Dr. Harry E. Mock of Sears, 
Roebuck, and Company, was chairman and with him were 
associated Dr. A. M. Harvey of Crane Company, Dr. James 
A. Britton of the International Harvester Company, Dr. W. 
H. Lipman of Swift and Company, and Dr. L. Z. Little of 
the Western Electric Company. This committee made the 
following recommendation for the physician's office and equip- 



l8o LABOR MAINTENANCE 

ment suitable for conducting the medical examination of 
employees. 

Location. "The ideal arrangement would be a group of 
offices, well-lighted, well-aired, removed from all noises and 
housed in a building preferably detached from the plant, 
especially accessible from the departments in which most acci- 
dents occur." 

Whether or not this recommendation can be carried out 
entirely, the department should be located in as quiet a place 
as possible; noisy machinery overhead or in adjoining rooms 
is likely to impair the value of the physician's work. 

Offices. The size and number of offices will depend on 
the number of employees to be examined daily. But the 
important thing to remember is that the choice of the physician 
to have charge of the work is the first step and he should be 
consulted as to his needs. The report declares the following 
rooms as necessary. 

Waiting-Room. A waiting-room equipped with a suffi- 
cient number of chairs or suitable benches for seating em- 
ployees who have to wait for treatment. If possible there 
should be separate waiting-rooms for men and for women. 

Filing-Room. There should be a general office for a 
stenographer and the files of the department. It is absolutely 
essential that the most careful and accurate records be kept. 
Such records are of vital importance not only for study of 
plant health conditions but in connection with claims for com- 
pensation which may arise. 

Examining Rooms. The examining room should be as 
quiet as possible, and well-lighted. It is important that this 
room should be completely closed off from the other rooms. 
The room should contain a chair for the doctor, a stool for 
the employee (the report suggests a revolving piano stool as 
ideal), a simple-padded examining table, a small stand for 



ORGANIZING PLANT HEALTH DEPARTMENT l8l 

writing or on which the doctor may lay his instruments. Two 
hooks in the wall can serve as clothes hangers. 

It is also suggested that if the number of employees ex- 
amined daily is large, there should be two or more rooms 
equipped as above. The best arrangement provides a dressing- 
room in connection with a small examining room so that the 
employee may come into the doctor's room prepared for the 
examination. For the examination of female employees the 
separate dressing-room and examining room is essential. The 
point is also made that in all cases when a girl is examined 
the nurse should be present. 

As the history of each case may be taken in the examining 
room, the committee does not consider a history room essen- 
tial. The report states, however, that a great deal of the 
doctor's time is saved if a separate room for this purpose is 
provided, in which the temperature, pulse, height, and weight 
of the employee can be taken, and the few points desired in 
regard to age, nationality, and past history obtained. This 
work can be done by a nurse, or by a well-trained 
attendant. 

Laboratory. A laboratory is highly essential, for no ex- 
amination is complete without certain laboratory tests. The 
laboratory should be equipped for careful urinalysis, with a 
microscope, blood-counting, and blood-pressure apparatus. 

Private Offices. The physician in charge should have his 
own private office where employees may consult him without 
embarrassment. In the absence of such an office, the doctor 
can use one of the examining rooms. 

Surgical Room. There should also be a surgical room 
where immediate attention can be given to accident cases 
and where subsequent dressings can be made. Two of these 
rooms are necessary in plants where many women are em- 
ployed. Good light and ventilation are essential. It is desir- 
able that the surgical room be closed off from the rest of the 



1 82 LABOR MAINTENANCE 

office as the sight of wounds being dressed will tend to prevent 
employees from coming to the office. 

The surgical room, as well as all others in the department, 
should be kept scrupulously clean. 

It should be painted white and furnished as follows: 

1. White enameled table where the patient can lie down 

if necessary. 

2. White enameled dressing-table. 

3. White enameled stand for instrument sterilizer. 

4. Glass jars for dressings. 

5. Instrument cabinet. 

6. The few necessary drugs. 

7. White enameled chairs or stools. 

8. White enameled stands suitable for resting the 

patient's leg or arm for dressing wounds of these 
extremities. 

9. Hot and cold running water (foot control). 

10. As an adjunct to this equipment there should be 
space or preferably a separate room for hydro- 
thermal and baking apparatus. 

Dr. Mock in his book, "Industrial Medicine" (1919) also 
recommends a sterilizing room where all dressings used on 
wounds can be thoroughly sterilized. And in plants where 
severe accidents are likely to occur an X-ray laboratory is 
essential. 

Restrooms. Restrooms, one for women and one for men, 
are important, for when suddenly taken ill an employee often 
wishes to lie down until he is taken to a hospital or is able 
to go home. Rest will frequently enable employees to over- 
come a temporary condition and return to work after an 
hour or so. 

Not the least important part of the equipment of a health 



ORGANIZING PLANT HEALTH DEPARTMENT 183 

department are proper toilet facilities in the doctor's office. 
Shower baths should also be included in the equipment when 
possible. 

Personnel of the Department 

The industrial clinics have generally about the same kinds 
of heads, assistants, and attendants as the small private or 
public hospital. First, of course, comes the physician in 
charge. 

Where a plant is small it is generally unnecessary to have 
a physician on full time and so arrangement is made for 
consulting physicians who devote part of the day or the week 
to employees, or who are called upon in case of emergency. 
This arrangement is sufficient when there is a well-equipped 
emergency aid room in charge of a capable nurse who takes 
care of minor injuries. But when the arrangement is to 
send minor injury cases to a physician outside the plant, much 
unnecessary lost time is the result, and there is considerable 
danger of infection developing. The time lost in going to 
and from the physician for redressings is forgotten and the 
doctor is apt to be careless in fixing the period of disability. 
A detached medical service is bad in principle and is un- 
economic in practice. 

Where extensive medical work is done in a plant it is 
wise to have the services of one or more physicians on full 
time. This is especially true of firms where physical examina- 
tions of employees are conducted or where the force of workers 
is quite large. Full time of the physician is the practice in 
most of the industrial plants of the country where some form 
of medical service is provided. 

Training the Industrial Physician 

It is evident that the industrial physician should receive 
special training for his work. In response to this need medical 



I&t LABOR MAINTENANCE 

schools of several great universities of the country have begun 
to study the problem and to establish' courses of training. The 
Medical School of Harvard University was among the first 
to take this step, organizing a course in industrial hygiene. 
Such a course should deal with industrial, medical, and surgical 
problems, sanitary standards of plants, occupational diseases, 
fatigue, general safety work, methods of medical supervision 
of employees, physical examinations, dental hygiene, and 
nursing service. It should deal also with the question of 
personal relations in industry, employment methods in their 
relation to health, the place and value of recreation, food 
problems, and industrial housing. 

The College of Medicine of the University of Cincinnati 
has lately established a course in industrial medicine and 
public health in co-operation with the local chapter of the 
National Safety Council and Employment Managers' Associa- 
tion. The outline of the work of this course (Figure 12) 
is here presented. 

The compensation of industrial physicians varies greatly. 
Whole-time physicians receive from $1,200 to $8,000 a year. 
In one plant the part-time physician receives $1,800 a year. 
This plant has less than 500 employees. A plant having be- 
tween 500 and 1,000 workers pays its head physician $3,300 
for three hours each day. In another plant a part-time 
physician receives $60 a month for three afternoons each week. 
There are no standards by which to determine how much 
should be paid for medical services ; it is a matter determined 
solely by the circumstances in the particular case. 

Industrial Nurses 

The rest of the personnel falls into two classes — those who 
have the training of the schools, and those who have the 
training of experience only. Selby, in his "Studies of the 
Medical and Surgical Care of Industrial Workers, ,, already 



ORGANIZING PLANT HEALTH DEPARTMENT 



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1 86 LABOR MAINTENANCE 

referred to in these pages, says, "The trained female nurses 
are 65 per cent of the whole number and the others are — 
trained male nurses 4 per cent, experienced women 3 per cent 
and experienced men 27 per cent." 

It is seen that the female trained nurses greatly outnumber 
the untrained or "experienced," while the ratio is reversed 
in the case of men. The young woman who goes into nursing 
knows that she will advance to full standing and earnings 
only by having the training to be gained in the schools. On 
the other hand the young man hesitates to spend three or four 
extra years in school or hospital classes and trusts that assisting 
those who are trained will advance him to substantial earnings 
in this new field. Men have come into such work rather by 
chance or by circumstances. In this connection Selby again 
says, "Clerks and other employees whose duties have thrown 
them into contact with accident cases have gradually developed, 
through observation, experience, and perhaps some study, into 
dispensary attendants." 

Naturally a course of technical training is altogether desir- 
able for the attendant, yet in many small industrial plants, 
which cannot afford high-salaried attendants, the person who 
has had practical experience in the dispensaries of other plants 
or in hospitals, under skilled physicians and trained nurses, 
may be an efficient attendant. Here as in other situations in 
business and industry personality counts. 

As the industrial clinic becomes established more and more 
widely, however, we may expect that the standards of profes- 
sional equipment for assistants all up and down the line will 
be raised, and that school courses will be more generally 
required for the attendant. 

Dispensary attendants cleanse and dress wounds, care for 
mild cases of accident, and after consulting the head of the 
department, give medicines for headaches, constipation, and 
minor ailments. They assist the physician in the more diffi- 



ORGANIZING PLANT HEALTH DEPARTMENT 1 87 

cult cases and examinations, keep records, and, when special 
clerks are not provided, prepare reports. In some plants they 
give information for health promotion or accident prevention 
to employees, individually or collectively. 

The industrial nurse must be tactful, quick to understand 
the difficulties of individual cases, and sympathetic. She gets 
closer to the patient and many times has greater influence 
with him than the attending physician. The natural qualities 
of women, of gentleness, feeling, patience, and insight make 
them preferable and in greater demand in industrial clinics. 

Again the attendant nurse has a rare opportunity to make 
new contacts between the employee and the employer. The 
worker forgetting that accidents and illness occur in employ- 
ment as well as in idleness, may feel an accident or illness is 
chargeable to his employer. Through skill, kindly suggestion, 
and sympathy, the nurse can help to correct such an impres- 
sion, and at the same time the health and strength of the 
worker, so vital to success in industry, will be conserved. 

Course of Training for Industrial Nurses 

A typical course for the training of industrial nurses has 
recently been established at Boston University, extending 
through the summer session. The following statement an- 
nouncing the course has some interesting points apropos of 
the present discussion: 

Factory Nursing. This course is offered in co-operation 
with the Industrial Committee of the New England section, 
National Civic Federation, in response to an urgent request 
by representatives of large business interests who feel the 
need of well-trained factory nurses. It is intended to prepare 
men and women to act as qualified assistants to industrial 
managers in supervising and promoting the health of em- 
ployees and sanitary conditions of employment. It is es- 
pecially planned to aid in the practical preparation of the 
factory nurse. 



l88 LABOR MAINTENANCE 

In large manufacturing establishments the position of fac- 
tory nurse is becoming one of increasing importance. In 
many establishments the factory nurse not only has charge 
of emergency rooms, to which accident or sickness may occa- 
sionally bring an employee, but has general supervision of 
sanitary conditions. She co-operates with the employment 
department, making vocational studies and thus assisting the 
management in properly placing employees. She is of equal 
assistance to the employee, helping the individual to work 
into the most suitable position. 

Since many manufacturers are requiring these services 
of the factory nurse, the rapidly increasing demand offers 
an attractive field for graduate nurses and other specially 
qualified women. 

The work will consist of lectures by the instructor and 
by representatives of important industries, who will deal with 
the opportunities of this form of service. Such topics as 
the following will be considered: m industrial organization; 
health supervision of employees; physical conditions of plants 
and their effect on the health and the efficiency of the 
workers; workmen's compensation; physical examination of 
employees; first-aid treatment of injured and sick by fellow- 
employees, etc. 

The lectures will be illustrated with the stereopticon. 
There will be several visits to manufacturing establishments 
in the city or near vicinity, for the purpose of demonstrating 
and applying the subject matter of the course. 

Monday, Wednesday, and Friday from 3-5 for four weeks, 
beginning July 2. 

For this course a special fee of only $5 is charged. 

Work of the Standard Oil Company 

There are many fine health departments in industrial 
plants, among them being that conducted by the Standard 
Oil Company. The medical department of this company con- 
sists of a medical consultant, a medical director, ten full-time 
physicians, four part-time physicians, and three hundred doc- 
tors employed on a fee basis when called upon. There are 



ORGANIZING PLANT HEALTH DEPARTMENT I&) 

also six women and ten male nurses and four clerks. The 
work in general comes under the following heads: 

1. Treatment of emergency accident cases. 

2. Examination of new employees. 

3. Rating old employees as to their general physical con- 

dition. 

4. General medical advice. 

5. Sanitary supervision of the plants. 

6. The management of a tuberculosis home for employees. 

7. Planning new medical quarters. 

8. Administration. 

As to the results of this work, the company states: 

It is manifestly impossible to strike an exact trial balance 
between the cost of the medical department and the value 
of results achieved, but in the brief experience of the medical 
service here it is possible to point to many definite instances 
in which the period of disability of employees has been 
shortened; while in many other cases permanent injuries 
have been obviated through prompt and thorough treatment. 
Absence from work because of chronic disease has been 
confined largely to employees taken on prior to the adoption 
of the present system. 

The American Rolling Mill Company 

Another successful medical department is that of the 
American Rolling Mill Company, Youngstown, Ohio. The 
company employs three full-time physicians, eleven nurses, 
and three clerks. The organization of the department includes 
a main hospital completely equipped, a "colored hospital,'' 
central works and shop dispensaries, and a physical examina- 
tion department. Laboratory facilities are also provided. 

A complete clinical record of each employee is kept, and 
if this shows that the health of the particular employee is not 



190 LABOR MAINTENANCE 

normal he is given a thorough examination and if it appears 
advisable, a change of work is recommended. 

The American Cast Iron Pipe Company 

The medical department of the American Cast Iron Pipe 
Company, Birmingham, Alabama, maintains two physicians, 
one surgeon, and several trained nurses as well as a staff of 
consulting specialists. There are operating and consultation 
rooms. One of the most successful features of the work is 
that done by the company dentist. There are two dental 
operating rooms and most of the work is done free. 

The services of the medical department are furnished to 
married men and their families for a fee of $1 per month. 
There is a fee of 50 cents per month for single men. 

The British Government's Requirements 

The British government requires all blast furnaces, copper- 
mills, iron-mills, and foundries, and metal works employing 
500 or more, to provide and maintain in good order what 
it calls an "ambulance room." This room must be a separate 
room used only for the purpose of treatment and rest. It 
must have a floor space of not less than 100 square feet and 
"smooth, hard, and impervious walls and floor, and shall be 
provided with ample means of natural and artificial lighting." 
This room must contain at least: 

1. A glazed sink with hot and cold water always available. 

2. A table with a smooth top. 

3. Means for sterilizing instruments. 

4. A supply of suitable dressings, bandages, and splints. 

5. A couch. 

6. A stretcher. 

Where persons of both sexes are employed, arrangements 
must be made for their separate treatment. 



CHAPTER XIV 

WORK OF THE PLANT HEALTH DEPARTMENT 

Physical Examinations 

With the establishment of the health department in indus- 
try has come the practice of giving a careful physical examina- 
tion to applicants for employment. Sometimes such an ex- 
amination is given even to persons who have been employed 
for some time, so that the management may be assured of 
their satisfactory physical condition. As a requirement for 
new employees, the examination is becoming rather general. 

The employer is responsible for taking into his business 
or manufacture only those persons who have the health and 
strength requisite for the particular work to be done. The 
efficiency of the worker is thus assured, and a full measure 
of production obtained. 

On the other hand, no harm is done to those whose physical 
condition keeps them out of a particular employment, for 
they may take measures for recuperation or physical develop- 
ment which otherwise they might never adopt. The physical 
examination is recognized as necessary not only for the good 
of the worker himself, but to protect one's fellow-workers 
from any contagious disease or unpleasant physical ailment. 
An indication of how important this matter is may be gained 
from the fact that of the two and a half million men, between 
the ages of 21 and 30, who were examined for the National 
Army in 191 7, 34 per cent were found physically unfit for 
military service and were rejected. It was estimated that over 
one-third of this number were suffering from remediable 
defects. 

191 



I9 2 LABOR MAINTENANCE 

Objections and Difficulties 

Difficulties of real importance sometimes arise in connec- 
tion with physical examinations of female employees. The 
best practice provides for a woman physician to do this work. 
If that is not feasible, a nurse or matron should be present 
when the examination is made and unnecessary exposure of 
the body should be avoided. There is little objection to the 
examination if its purpose is carefully explained. 

The medical examination of new employees should always 
be made before the applicant is engaged far employment. A 
number of employers have not followed this important rule, 
with the result that some workers who had given up positions 
in other concerns to enter the plants of the employers we 
have mentioned, found themselves without jobs after a short 
time because of failure to pass the physical examination. Such 
a procedure is unjust, and is good ground for dissatisfaction 
with the system. 

Much of the objection to physical examination has been 
owing to the fact that some employers have used the physical 
examination as a means of blacklisting workers who had tried 
to develop unionism among the workers of certain industrial 
communities. Another source of objection was the fear that 
if rejected because of physical defects in a particular concern 
which had an interchange of information with other concerns, 
a worker would have to move his family out of the district 
and find employment in some distant center. 

Western Electric Company 

The work of the Western Electric Company in this phase 
of employment management is an example of what the fore- 
most concerns are now attempting. The company's "sugges- 
tions to the examining physician" indicate the purpose and 
scope of the physical examination so well that they are in- 
cluded here, in part, in the following statements : 



WORK OF PLANT HEALTH DEPARTMENT 193 



The Examining Physician 

We require that each new employee submit to a physical 
examination for the purpose of securing such information 
with reference to the past and present health of the applicant 
as will enable us to evaluate correctly his ability to perform 
his duties without danger to his health or injury to himself. 
It is equally essential that the employment of the applicant 
does not subject his fellow-employees to undue risks. 

It is necessary for us to depend on you, as our examining 
physician, to inform us as to the risk we would be compelled 
to assume if the applicants whom you examine should be 
employed. Your duty towards us differs from that of an 
examining physician for an insurance company in this 
respect: To them you would stand as adviser as to the 
expectancy of life, upon which advice would depend the pay- 
ment of losses; to us you are the adviser as to the expectancy 
of health, upon which information we must depend as to our 
risk from sickness or injury to our employees. 

The examination report which we use we believe covers 
only the information necessary to make a fair decision in 
each case, and it is essential that we have complete informa- 
tion as called for in these reports in order that we may 
have a well-defined picture of the ohysical condition of the 
applicant who is examined. 

As a result of your physical examination, applicants 
should be classified in one of the following classes, and this 
classification entered on the report under the heading 
"Remarks" : 

First, those who should be classed "Accepted." Appli- 
cants whose physical and mental conditions are free from 
acute or chronic diseases and whose anatomical structures 
compare favorably with the normal, who are free from 
deformity or maiming of any kind, and whose expectancy of 
health is good at the time of examination. 

Second, those who should be classed "Physically Unfit." 
Applicants who at the time of examination show some evi- 
dence of disease, either acute or chronic; some injury or 
deformity; some substandard condition which might become 
aggravated, or which might influence the health of a fellow- 



194 LABOR MAINTENANCE 

workman; but which condition, in your opinion, can be 
corrected and the applicant restored to a normal standard 
of health. Applicants of this class shall not be approved for 
employment but may be reconsidered for employment after 
the defective condition has been remedied. 

Third, those who should be classed "Rejected." Appli- 
cants who are afflicted with disease or injury, who are 
maimed or deformed, or who have defective vision to such 
an extent that these conditions cannot be sufficiently cor- 
rected to restore the applicants to a normal physical condi- 
tion. Applicants of this class shall not be reconsidered for 
employment. 

For the purpose of obtaining uniformity of results and 
to be of assistance to you in forming an idea of our require- 
ments we are listing below general descriptions of the in- 
formation required under the various headings on the ex- 
amination cards. The subjective part of the examination 
we do not consider of as much importance to us as the 
objective, for, while it often furnishes favorable information 
as to the past health, the real purpose of the examination 
is to determine the condition of applicants at the time they 
are employed. 

Although the final responsibility for accepting or rejecting 
applicants rests with us, with you, as examiner, rests the 
responsibility for the accuracy and completeness of the record 
of the physical examination of the applicant, and it is, 
therefore, upon your vigilance and judgment that we depend 
to deal justly and fairly with our applicants and to be suc- 
cessful in conducting that phase of our physical examination 
work with which you are associated. 

Avery Company 

Dr. C. G. Farnum, chief surgeon of the Avery Company, 
Peoria, Illinois, in a paper read before the American Public 
Health Association, at Rochester, New York, made some 
significant statements about physical examinations which are 
of especial interest at this point. Some of them, dealing with 
the number of physically perfect and handicapped men and 



WORK OF PLANT HEALTH DEPARTMENT 195 

the special defects covered by examination at the Avery Com- 
pany, follow: 

Wherever routine physical examinations of large groups 
of men have been carried out it has been most strikingly- 
demonstrated that here in America the number of physically 
perfect men is extremely small — so small that but a meager 
part of the work of the world could be carried on by them. 
The statistics on this point vary from less than i per cent 
to 12 per cent, depending on classification and the thorough- 
ness of the examinations. On the other hand, these same 
routine examinations reveal the equally interesting fact that 
the percentage of men whose defects render them unfit for 
any form of employment is likewise exceedingly small. Be- 
tween these two small groups that occupy the extremes in 
the scale, lies the incalculably huge army of workers who 
are doing their daily tasks under greater or less handicaps 
to their efficiency and progress, and whose accident hazard 
is increased to a corresponding degree. 

These groups of major defects are as follows: 

1. Diseased hearts and circulatory apparatus. 

2. Diseased kidneys and diabetes. 

3. Defective vision. 

4. Defective hearing. 

5. Venereal diseases. 

6. Hernia. 

7. Diseases of the lungs. 

8. Atrophies, ankylosis, amputations, impaired reflexes. 

We have omitted many things that might have been in- 
cluded and which are covered by our examinations, such as 
flat foot, varicose veins, constipation, overweight, under- 
weight, decayed teeth, diseased gums, infected tonsils, nasal 
defects, diseased external eyes, diseases of the nose and 
accessory sinuses, skin lesions, and hemorrhoids, all of which 
defects might be factors in the production of accidents. 

The conclusion of the whole matter is excellently stated by 
Dr. Farnum thus: 



196 LABOR MAINTENANCE 

We care for our men when they are injured, advise them 
when they are sick, confer with them as to their health and 
habits, examine them periodically, and supervise them con- 
stantly; and whatever be the subject in hand, it is always 
made a matter of private personal conference. We deal 
but little with our men en masse. It is true we issue bulletins 
on safety, health, and general information, but at the Avery 
Company we look upon the individual man as the one essen- 
tial, basic element in the whole scheme of civilization. We 
believe in men. We consider them the most valuable things 
in all the world, and we think that they deserve to be dealt 
with individually for the solution of their individual problems 
and needs. No employer's time is so valuable that some of 
it cannot be profitably spent this way, for medical and safety 
supervision is not a charitable institution. It is an invest- 
ment, the dividends on which are efficiency and loyalty — 
two of the most valuable assets any employer can possess. 

Other Methods 

At the Bourneville Works of Cadbury Brothers, the fa- 
mous English cocoa manufacturers, the hands of employees are 
examined periodically to prevent eczema and other skin 
troubles. When it is found that workers cannot, or ought 
not to perform a certain sort of work, they are transferred 
to another sort. Warmed and dry dressing-rooms are an im- 
portant adjunct to the health precautions taken at this progres- 
sive plant. The company employs two physicians, one a 
woman, and four trained nurses. 

A new development in the matter of physical examinations 
of employees, is the group diagnostic clinic. Plants which 
do not employ their own physician form themselves into a 
group, and designate some clinic as their examining agent. 
The clinic, being in the employ of the group, examines appli- 
cants for any plant within the group. The clinic in Toledo, 
Ohio, is the best example of this. It has offices in various 
parts of the city and reaches thousands of employees. In. 



WORK OF PLANT HEALTH DEPARTMENT 197 

Chicago this plan is being worked out in co-operation with 
Rush Medical College. 

i 
Dental Service 

The amount of time lost by workers in industry through 
lack of care of the teeth is almost appalling. Loss of teeth 
by pyorrhea, neuralgia, and rheumatism are only the more 
glaring troubles that arise. The general health and efficiency 
of the worker may depend almost entirely on the condition 
of the teeth. Much lost time which never figures in accident 
or sickness reports because it amounts to only a day or two 
at a time, is owing to trouble with teeth. In recruiting men 
in the late war, the government had, first, to exclude those 
whose teeth were in such condition that normal health and 
strength could not be maintained by the mastication and 
assimilation of food ; and second, to do extensive dental work 
for those accepted. Many of the men enlisting or drafted had 
never consulted a dentist. 

An examination of the total number of employees in a 
certain plant employing 7,000 men, showed 38 per cent having 
teeth so bad as to interfere seriously with their efficiency. 
Often it is found that foreign-born workers do not know 
what a tooth-brush is, and the industrial dentist must keep 
one on his desk for demonstration purposes. 

Operation of Dental Clinics 

Factories and industrial establishments throughout the 
world have established dental clinics in connection with their 
health departments. The condition of the teeth may be in- 
cluded in the physical examination. The clinic is usually in 
charge of an accredited dentist with such assistants or dental 
nurses as the size of a concern may warrant. It is kept open 
through the working hours of the day, or, for instance, from 



198 LABOR MAINTENANCE 

8:00 to 11:30 a.m., and from 12:30 to 4:00 p.m., on fixed 
days of the week. 

A record is kept of all operations performed in the dis- 
pensary and regular reports are made to the management. 
Lectures on the care of the teeth and other dental subjects 
are given by the dentist in charge, to groups of employees. 

The services are absolutely free to the employees of the 
company. No charge is made for material or labor. Service 
is first of all preventive, to safeguard the worker against more 
serious trouble or loss of time. After that it may extend to 
the treatment of more severe cases. 

Employees are not compelled to accept the services of the 
dental dispensary, but are generally urged to do so. Some 
firms employing women provide tooth-brushes and dentifrices 
free or at cost to employees. Other concerns send out special 
bulletins on the care of teeth, a typical example being the 
following sent out by a large mining corporation. 

Hints on Care of Teeth 

It is fast coming to be an accepted fact that good health 
depends largely on good teeth and a clean mouth. 

A well-known life insurance company recently issued a 
letter to its employees from which the following is an 
extract: "As the healthy and continued life of the whole 
body depends upon the air it breathes and the food it as- 
similates, and as both of these are directly affected by the 
conditions of the mouth, it is not an exaggeration to say 
that many of the ills of mankind will be banished as soon 
as the teeth and mouth receive the care and attention they 
require." 

Decay of the teeth is seldom classed as a disease. It 
should be considered as such, as the decay from broken- 
down teeth is of a particularly virulent character, for it is 
connected with disease of the bone. This diseased bone 
being in the mouth is mixed with the food and swallowed 
every time the patient eats. If this pus matter and diseased 



WORK OF PLANT HEALTH DEPARTMENT 199 

bone were outside of the mouth one would never willingly 
or knowingly eat it, yet that is what happens when people 
neglect their teeth. 

In the work of the dental division it has been found that 
80 per cent of all children have decaying teeth. If a child has 
decayed teeth it cannot properly chew its food. Improperly 
chewed food and an unclean mouth cause bad digestion, and 
consequently poor general health. 

Parents can greatly aid the children by encouraging them 
to follow the instruction given in school by the dental nurse, 
and by seeing that they are kept supplied with clean and 
serviceable tooth-brushes. 

National Cash Register Company 

The National Cash Register Company has a well-equipped 
dental clinic that has proved of great service to the employees 
of the company, and thus to the company itself. A report 
of this clinic makes the statement that "keeping workers in 
good health by looking after their teeth is just as essential 
as keeping machinery in working order." The following is 
a summary of all operations performed in the clinic of the 
National Cash Register Company in the six months' oeriod 
from July 1 to December 31, 19 18: 

Examinations of employees 503 

Extractions 502 

Amalgam fillings 31 

Cement fillings 53 

Gutta-percha fillings 20 

Prophylactic 564 

Abscess treatments 15 

First-aid ' 386 

Consultations • 75 

Gum treatments 83 

Nerves removed 1 

Miscellaneous treatments 288 

Total treatments 2,521 



200 LABOR MAINTENANCE 

Eye Treatment 

The health movement in employment has included the 
proper examination and care of the eyes of the workers. No 
feature of industrial safety has shown more satisfactory re- 
sults than industrial eye protection. Thousands of industrial 
workers whose occupations are hazardous are today enjoy- 
ing the continuation of perfect sight because of having worn 
goggles during working hours. Wherever there is danger 
to the eye from flying particles of metals or chemicals, or 
from dust, or from intense light or heat, goggles have been 
found to be the greatest protection. They have often pre- 
vented painful injury and loss of sight. Some firms compel 
their use; others furnish them if the workers desire them. 
It has been estimated that 80 per cent of all eye accidents which 
happened in the past were preventable. 

Among the firms which provide an oculist for their em- 
ployees may be mentioned the Wayne Knitting Mills, Fort 
Wayne, Indiana; Montgomery Ward Company, Chicago; 
Kaynee Company, New York ; Rowntree Brothers, York, Eng. 

The extensive dental and optical service now being in- 
troduced in the public schools will enable young people to 
enter employment with better health and sight, and will lessen 
the task now imposed upon industry through the former dis- 
regard of these matters on the part of the public. 

The Visiting Nurse — Her Qualifications and Functions 

In order to lessen absence from work some employers have 
special nurses whose duty it is to investigate conditions and 
visit the homes of persons not reporting for duty. Illness is 
the most frequent cause of absence, and any means of hasten- 
ing recovery is desirable. The visiting nurse may also visit 
the patient who has been treated in the factory clinic and 
sent home or to a hospital for recuperation. In allowing the 
ordinary factory nurse to act as an investigator of absences, 



WORK OF PLANT HEALTH DEPARTMENT 201 

there is the obvious danger of jeopardizing the good-will 
of the employee toward the department. Armour and Com- 
pany avoid this danger by having nurses of the local district 
association attached to their industrial staff for this particular 
duty. Another concern in a small community supports a 
district nurse who, in addition to her general service to the 
public, attends ill employees of the company as well. 

"The appraisal of industrial nursing service, expressed in 
letters from companies of national and international reputa- 
tion," says Miss Ella P. Crandall, Executive Secretary of the 
National Organization for Public Health Nursing, "is very 
interesting and may be summarized as follows : 

"The employment of visiting nurses: 

1. Avoids frequent changes. 

2. Avoids serious infection. 

3. Avoids long and frequent absences. 

4. Avoids excessive physicians' bills. 

5. Results in decreased number of deaths. 

6. Results in decreased number of disabilities, both per- 

manent and partial. 

7. Results in decreased number of accidents. 

8. Helps to solve the difficulty (in some instances) of 

obtaining sufficient operators. 

9. Offers an avenue to employees for reaching the com- 

pany. 

10. Offers an avenue of friendly relationship and service. 

1 1 . Affords assistance in obtaining information regarding 

the extent and causes of accidents. 

12. Has a distinct value in determining liability. 
13 Increases efficiency of employees." 

A recent list of industrial nursing activities shows that they 
are now established in 205 cities and towns in 36 states. 
There are 460 firms employing 567 nurses. These firms include 



202 LABOR MAINTENANCE 

a very wide range of enterprises, from the building of ships 
to the building of typewriters, and from the manufacture of 
textiles to the making of matches. 

Eastman Kodak Company 

The work done in home-visiting by the Eastman Kodak 
Company and outlined below is of especial value and sig- 
nificance : 

Personnel : 

1. A graduate nurse with social service training. 

2. One clerical assistant, part-time. 

Scope and Character of Work: Indicated by attached daily and 
monthly report sheets. Miscellaneous calls are not classified. No 
bedside nursing is done. The visitor's work is chiefly advisory, 
educational and in other ways remedial. 

1. Requests to call are received from: 

(a) Employment managers of the various plants to whom 

foremen and superintendents report cases of illness 
and other social problems among workmen and their 
families. 

(b) Managers of plants. 

(c) The intramural company nurses. 

(d) Company physicians. 

(e) Employees direct. 

(f) Other social agencies in the city, such as hospital dis- 

pensaries, the United Charities, etc., with whom close 
co-operation is practiced through the medium of the 
Confidential Exchange. 

2. Reports on individual cases made by letter to persons referring 

case to visitor. Monthly reports to managers, statistical 
only. . . . Occasional narratives of "human interest" stories 
are sent to managers as supplementary to statistical reports. 

3. Records of visitor consist of carbons of above letters, together 

with narrative records in the third person filed alpha- 
betically by plants. A day-book is kept by visitor for 
personal use and records, names, and addresses of persons 
called on by dates. 



WORK OF PLANT HEALTH DEPARTMENT 203 

Method of Handling Cases. The visiting nurse does not regard 
it as her function to handle the cases by herself except in certain 
instances — that is, when the problems involved are slight, temporary, 
or of a character for which no suitable agency exists in the city. 
For example, situations involving cruelty or neglect of children are 
referred to the Society for the Prevention of Cruelty to Children, 
which takes the lead and with which the visitor co-operates on 
request. In sickness (not accident cases) dispensaries or private 
physicians are advised. Sickness or accident resulting in unemploy- 
ment and consequent insufficient means of support are referred to 
the United Charities, or if eligible, to the Welfare Department of 
the Kodak Company for allowance or loan. Credit is sometimes 
arranged for with tradesmen, physicians, or hospitals. 

Training of Nurses 

The visiting nurse should have not only the regular nurse's 
training, but should be familiar also with the state laws re- 
lating to employment, the regulations of local boards of health, 
and the special work now being done in industry for the 
general welfare of employees. The visiting nurse, if she h 
to fulfil her mission, must have tact and good judgment. She 
must have the ability to gauge and understand the cause of 
absence of the worker she is visiting, and at the same time 
know what he needs in the way of treatment. Through her 
the employer comes in closest contact with the home. 

Restrooms for Women 

In connection with the health department, progressive 
firms are now providing restrooms for women and girls. The 
noise of the machinery and the stir and bustle of the modern 
industrial plant wear upon the nervous strength of women 
more than upon that of men. Continual standing at bench 
or table, moreover, is especially wearing for the female con- 
stitution. The great numbers of women employed in this and 
foreign countries in war times have accentuated these diffi- 
culties and caused employers everywhere to consider means 



204 LABOR MAINTENANCE 

of remedying them. The attempt in some establishments, to 
have regular rest periods both forenoon and afternoon has 
not solved the problem of rest for those who suffer from 
temporary fatigue or sudden illness while in the factory. A 
room or several rooms set apart from departments of work 
and from the quarters usually reserved for men do provide 
the desired solution. 

The Packard Motor Car Company, because of the scarcity 
of male labor during the war, has largely increased the number 
of women employees in its factory, and has taken very progres- 
sive steps in the training and care of women. W. J. Ham- 
mond, superintendent of the vocational school established by 
the company, has the following to say about restrooms in his 
outline of work: 

The subject of the restrooms is of prime importance. 
The restroom is established for two purposes : as a place 
for a woman to change her clothes; and to provide a space 
for the woman who is suddenly overcome with illness, to 
rest in retirement. They are not intended as a general 
loafing space nor are women to be permitted to go out at 
any periodic time to the restroom for the purpose of loafing. 
If a woman is out of work she is to remain at her machine 
or in the department, being, of course, allowed to sit down 
if her work requires her to stand; but she is not to be rung 
out on idle time and sent to the restroom. It should be 
thoroughly understood that the restroom is provided for the 
ill only and if a woman does not recover within a reasonable 
length of time, the hospital is to be notified and the woman 
removed to her home. Lunching is not to be permitted in the 
restroom. 

The last remark of the quotation above, that lunching is 
not to be allowed in the restroom, is significant of the purpose 
and atmosphere of the room. There must be no disturbing 
element in it, nothing to distract or arouse the person who 
is trying to secure relaxation, and nothing to make conversa- 



WORK OF PLANT HEALTH DEPARTMENT 205 

tion necessary. A nurse may be in attendance, but mainly 
to see that complete rest is secured. Couches or cot beds 
and easy chairs should be provided, with no superfluous article 
of any kind. The walls of the room should be of a neutral, 
restful tint. Ample light and air should be provided, with 
window shades to soften and lessen the light in case of need. 
It is scarcely necessary to add that the room must be so 
situated as to provide absolute quiet, or have sound-proof 
walls and doors if near the workrooms of the factory. 

The telephone companies throughout the country have at- 
tractively furnished restrooms which the employees may make 
use of during regular rest periods in the morning and after- 
noon. At the New York Edison Company the operators in 
the Contract and Inspection Department have 15 minutes be- 
tween 10 and 11 a.m. and 3 and 4 p.m. for quiet recreation in 
the restroom. 

The Curtis Publishing Company has several beautiful rest- 
rooms for employees. This is also the case with the National 
Cash Register Company. 

Health Campaigns 

It is incumbent on all industrial establishments of magni- 
tude to see to it that all employees understand as much as 
possible of local health regulations, state factory legislation, 
and the general laws of hygiene. Employees must be made 
to know the value of personal cleanliness and the danger of 
the spread of disease when many people are crowded together 
through the working day. They must be conscious, while at 
work, of the special dangers incident to their employment. 

For these purposes definite campaigns need to be carried 
on in industrial plants or businesses which employ many per- 
sons. In these campaigns, lectures may be given to company 
employees by plant physicians, nurses, or by other persons 
secured for the purpose. Courses of reading may be sug- 



206 LABOR MAINTENANCE 

gested or provided. Health bulletins and leaflets, which are 
of great value in giving important scientific facts in simple 
form, may be printed and circulated among employees. 

Training in First Aid 

"First aid," says Dr. Selby, "in the sense that temporary 
treatment is given by more or less trained fellow-workmen, 
is a thing of the past, unless circumstances are such that 
skilled attention is not readily available." The usual argument 
against first aid is that many workmen think that for the 
treatment of small injuries nothing more is necessary. Thus 
they incur the danger of infection by not having full treatment 
in a dispensary. Yet first aid is essential even in large estab- 
lishments, when some time must elapse before persons who 
receive accidental injuries or have sudden attacks of illness 
can be taken to the plant dispensary or local hospital. For 
instance, the Bethlehem Steel Company trains some of its 
workmen to apply protective dressings and transport injured 
men to dressing stations. The Westinghouse Electric and 
Manufacturing Company trains men to administer artificial 
respiration by the prone-pressure method. The nurses of 
Sears, Roebuck and Company, answer emergency calls and 
carry first-aid kits with them. Health lectures usually include 
instructions for action in first aid. 

Physical Training 

In establishments where employees do not get enough 
exercise, or the right kind of exercise, physical training is often 
provided. 

The White Company, Cleveland, requires all those em- 
ployed in responsible positions to take one hour of physical 
exercise daily in the company gymnasium on company time. 
Physical training is compulsory in some English factories 
where women are employed. 



WORK OF PLANT HEALTH DEPARTMENT 207 

Trained instructors are usually secured. Where it is found 
too expensive to employ a person on full time to direct 
physical training in a plant, it would be a simple matter to 
make a co-operative arrangement with other concerns in the 
community for the services of an instructor. The work may 
be done in connection with the health department or with 
the general service or clubhouse work. 

Each employee should be examined by the plant physician, 
or by a competent medical advisor before entering on a course 
of training, so that his special physical needs may be met. 

Shower Baths 

Physical training necessitates the shower bath, which may 
be located either in the health clinic or in a separate clubhouse. 
Employees are taught its use and value. A large number 
of concerns supply these baths to employees, particularly where 
the work is hot and dusty. 

Co-operation with Community Organizations 

The employer must supplement the health activities of his 
community. He must also work in close co-operation with 
all local health organizations. He may secure their assistance 
in a factory health campaign by obtaining from them informa- 
tion and aid in establishing and outfitting his dispensary. ' 



CHAPTER XV 

THE WORKER AT PLAY— THE NEED FOR 
RECREATION 

Efficiency Requires a Change of Occupation 

Recreation is something more than play. It is an effective 
change of occupation. Modern industry requires for full 
productive efficiency some regular provision for workers to 
give their bodies and minds a chance to re-create both spirit 
and energy. Good management has long recognized this need ; 
but the studies in recent years of engineers, industrial physi- 
cians, and production specialists have re-enforced from the 
scientific side the insights of observant managers. 

Play, then, and the larger function of recreation, may be 
said to have a real economic basis. The lack of it in any 
large organization of people reflects automatically in relation- 
ships and in output. Science has pointed out that the muscular 
system of the human body is the mainspring of health, con- 
tentment, happiness, and outlook. Behavior itself is largely 
a product in the average human being of the general physical 
functioning. 

Need for Recreation 

Modern living conditions and the usual work operations, 
as contrasted with farm life and work in the open, require 
correctives to make up for occupations which call but few 
muscles into play, give heart and lungs but meager exercise, 
involve much sedentary employment, and offer hardly any 
opportunity for all-round physical activity. Recreation sup- 
plies not only the necessary physical correctives — it does more. 

208 



THE WORKER AT PLAY — THE NEED 209 

It gives the social side of every person a chance for action. 
An adult requires that quite as much as does the child. 

Moreover, when the social instinct is given organized ex- 
pression it has values other than physical. Teamwork is whole- 
some character building, and observing the "rules of the 
game" is an object lesson in honesty. Taking an active part 
in an interesting project does away with inertia and self-deceit. 
The best education in life always comes from doing things, 
not from reading about them ; and the best character training 
comes from co-operating with others in securing desirable 
results. So from the viewpoint of health, of good citizenship, 
and of industrial efficiency, organized recreation has a distinct 
place in sound management plans. 

Recreation and Working Power 

Take the testimony as regards the relation of recreation 
to working power as given by one of the leading medical ex- 
perts of the country, Dr. Frederic S. Lee of Columbia Univer- 
sity: 

There is one feature of labor which I believe to be one 
of the most potent and most universal foes to efficiency. 
Natural working power varies infinitely in individuals, and 
yet no one will, I think, dispute the statement that few 
persons work up to their individual capacities. Professor 
William James, clear-sighted observer and keen thinker, once 
said: "As a rule, men habitually use only a small part of 
the powers which they actually possess and which they might 
use under appropriate conditions." This general human 
tendency is found also among industrial workers. It is 
even traditional with many and a thing to be encouraged, 
especially with those who have worked for years and have 
become accustomed -to the traditional ways of labor. It is 
sometimes called, in this country, "soldiering," and in Great 
Britain, "ca'canny." It may be a conscious, wilful pro- 
cedure, or it may be partly or even wholly unconscious. 
Many honest workers will tell you that it is deliberate. It 
is sometimes ascribed to labor unions as a deliberate policy, 



210 LABOR MAINTENANCE 

but it is found among non-union workers as well. The 
American investigators have found that it occurs very com- 
monly in the form of what they have called "stereotyping 
of output," that is, a form of output in which the same 
individual or a group of individuals will turn out, day 
after day, and week after week, practically the same quantity 
of finished product. In one munition factory engaged in the 
manufacture of fuses, a large proportion of the force was 
thus working. In forming at a capstan lathe the large end 
of the fuse, one man finished exactly 1,000 pieces on each 
of 44 nights out of 45 that were observed; in gauging the 
fuses, 5 girls out of 6 that were studied for one week 
examined 1,315 fuses each day; in 99 cases of drilling cer- 
tain holes, out of 163 observations extending over 17 days, 
1,300 fuses were drilled by each battery of two operatives 
in each spell, and 2,600 in each day; and in another drilling 
operation the output of each of 16 different workers, night 
after night, for one week was 3,600, no more and no less. 
If work were stopped for a brief period for reasons beyond 
the power of the work to control, such as the temporary 
crippling of a machine, the stoppage was likely to be followed 
by a spurt, and, without overworking his powers, the worker 
finished the day with the usual production to his credit. 

Some Primary Considerations 

There are a few practical considerations which must be 
dealt with before taking up a description of various types of 
workers' recreation activities. 

In the first place, there arises the question: Does industry 
have to concern itself with a matter such as this? Does not 
activity of this kind spell paternalism, something which all 
sensible managers certainly wish to avoid? 

To begin with the first question: Industry today is actually 
concerning itself with the recreation problems of the worker, 
as this chapter will show. Casting aside all theoretical objec- 
tions, plant after plant has undertaken a program of organized 
and well-supervised recreation with results that set all doubts 
at rest. 



THE WORKER AT PLAY THE NEED 211 

Organized Play Is Sound Business 

Under ideal conditions of employment it is possible for 
a working force to finish the day's work and then proceed 
to some wholesome recreation center where proper opportunity 
is provided for play and recuperation. When such conditions 
become common, it may be that industrial plants will find 
less to do in this direction. But not even then will the problem 
have been solved. Experience has shown that a short period 
of rest, change of occupation, and diversion interspersed in 
the working day go a long way. The tension is eased up, 
a freshening of energy and of spirit manifests itself, and the 
common form of recreation within the plant is a binding 
influence unsurpassed by any outside activity supplied by the 
community at large. 

From a practical point of view, organized play in connec- 
tion with the work program schedule is a piece of sound busi- 
ness economy. Viewing it wholly as such, there can be no 
pretense of paternalism. No one thinks of good ventilation, 
proper lighting, safeguarded machinery, clean toilets, and ade- 
quate washing facilities as examples of benevolence and 
fatherly interest. These items measure the intelligence of 
management. In the same way, recreation as part of a plant's 
service schedule may well be regarded as an instance of vision 
applied to the problem of production under right conditions. 
There are difficulties, of course, in such application. First of 
all, the nature of the operations may be such as to make 
impossible any interruption of an external nature. Few plants 
have the physical facilities for work of this kind. As a rule 
only thoroughly up-to-date buildings and grounds will permit 
of any such activities. But that does not dispose of the 
matter, because some of the most effective work in this direc- 
tion has been undertaken in what seemed to be most unpromis- 
ing locations. 



212 LABOR MAINTENANCE 

Self-Directed Recreation Best 

The lesson comes home continually that self -initiated and 
self -conducted activities on the part of people usually fare 
best and last the longest. This is true of recreation work. 
Play is a natural instinct. Generally it wants only incentive 
and opportunity. There are some, to be sure, whose desire 
for play and recreation seems to have been forgotten, as if 
they had never had a childhood. Here is an opportunity for 
real service. That is why a trained leader of recreation is 
always an asset. But this leader's part need never be an 
aggressive or conspicuous one; it is enough that he or she is 
on the job. 

Again and again the point must be emphasized that in all 
plant activities which are outside the direct field of production, 
self-direction on the part of employees should be encouraged, 
and made a regular feature of the program. That, of course, 
is easily accepted with respect to such familiar recreation enter- 
prises as baseball teams, or field sports. Athletic events are 
quite commonly the result of initiative on the part of some 
energetic individuals among the workers. But the point is 
that there is a vast unused fund of energy and enterprise for 
recreation purposes which many an organization fails to utilize, 
because a habit has been formed of expecting initiative from 
the top instead of from the rank and file. 

Now there is only one way to overcome a stagnant situa- 
tion such as this, and that way is to make prompt provision 
for employee co-operation in recreation work. Such co-opera- 
tion means turning invaluable assets into the social life and 
activities of the plant. 

Freedom in Recreation 

In this chapter stress has been laid on the importance of 
recreation that is organized and supervised. There can be 
no question that these elements must be regarded if recreation 



THE WORKER AT PLAY — THE NEED 213 

work is to accomplish the good that it can do. But it will 
be profitable to consider just what the nature of the organiza- 
tion and supervision should be. First of all let us consider 
what it should not be. 

Obviously, freedom is the big element in play — the sense 
of action without constraint of any kind. Good play teaches 
by its very nature the wisdom of not interfering with others. 
That is what rules imply. The very essence of genuine relaxa- 
tion is maximum opportunity for the senses and the instinct 
to follow their own whims. Officiousness on the part of plant 
executives, however legitimate their zeal, is wholly out of 
place. The fewer external restraints the better. Plant dis- 
cipline in the matter of recreation must work by methods of 
indirection. It cannot be imposed, as too frequently is the case 
with shop discipline. 

The play supervision should never be aggressive, assertive, 
or teacher-like. The psychologist has defined play as that 
group of activities which are not consciously performed for 
the sake of any result beyond themselves. Enjoyment flows 
from such activities because they are executed without refer- 
ence to any ulterior ends or purposes. The moral is clear that 
the injection of any such ulterior purpose in any recreation 
project will put an end to it. 

The stimulus that the group supplies is better than that 
of the supervisor, although there may be ample occasion for 
that of the latter. Many an adult has too often forgotten, 
if indeed he has ever really known, how to join in games and 
sports. Love of outdoor pastimes is a distinguishing trait of 
the English-speaking race. While alien groups among the 
factory force have delightful contributions of their own to 
make, particularly in the way of folk dances, songs, and 
pageants, they have much to learn about games which are the 
common inheritance of the American boy raised in a country 
town. 



214 LABOR MAINTENANCE 

The Example of the Cities 

The present generation has seen a change in public opinion 
relative to the need of play spaces and organized recreation 
to offset the physical deprivations connected with city life. 
Moreover, the shortening of the work day has opened up 
the subject of providing, for the leisure time of workers, up- 
building influences to nullify destructive influences lying in 
wait for idle hands and brain. 

So within twenty-five years cities have taken pride in 
tearing down congested tenements and utilizing their sites for 
parks, playgrounds, recreation buildings, and gymnasiums. 
Public schools have shown this awakening to the need of look- 
ing after the physical fitness of our citizenship most strikingly ; 
while here and there an employer of exceptional insight has 
made his own provision for the play activities of the worker. 

The results have been remarkable. Public recreation has 
reduced juvenile crime, so called, which too often was merely 
a blowing off of steam in the wrong place and at somebody 
else's expense; there has been a falling off of tragic street 
accidents to children; and there has been an improvement in 
feeling among different racial groups in cosmopolitan com- 
munities, and a quickening of mental power. These same 
benefits have shown among adults as well. 

Recognition of Benefits of Recreation 

With the growth of public interest in recreation, and with 
universal approval, there has grown a recognition of the posi- 
tive civic and economic value of recreation programs under 
the direction of competent persons. For the first time in 
history, training classes have been established for equipping 
such directors with the knowledge of the best methods and 
experiences in this type of work. Its literature is so volumin- 
ous as to amaze anyone who has not given the matter special 
attention. There is now a large class of professional and 



THE WORKER AT PLAY — THE NEED 21 5 

highly skilled specialists in the field of recreation, as there are 
in many other departments of organized human activity. 
Standards for recreation work exist today as they did not 
a generation ago. Perhaps they were not needed then; today 
they are. 

It is the business of a recreation director in a plant to 
make use of the lessons, learned in the course of many years' 
trial by a large number of people active in modern supervised 
play. A plant which prides itself on modern equipment and 
production methods should be able to pride itself as well on 
its contribution to the leisure activities of its working body. 
Where this has been done on a satisfactory scale, we find 
not only the right sort of leader in charge of the work, but 
in addition the plant nurse and the plant physician holding 
an important place as advisors and collaborators in the carry- 
ing out of the program. 

Employee Management of Recreation 

Whether the recreation enterprise be of the indoor or of 
the outdoor type, or a combination of both, as it really should 
be, the plans and the execution of their details should allow 
of active participation in management by employees selected 
for the purpose. A recreation program should never be 
handed down from above. It should always be of tentative 
character depending for its completion upon the wishes and 
suggestions of those who are to benefit by it. Serious mistakes 
have been made where this principle has been overlooked. 
Responsibility for untoward results should be laid to those 
who overlook abundant experience and guidance that might 
have helped. 

Where an office is set apart for the work of the recreation 
program, care should be taken that a collection is started of 
all worth-while things that have been printed on the subject. 
Books and magazine articles about games, pictures, and models 



2l6 LABOR MAINTENANCE 

of apparatus used for sports should be prominently displayed 
where all may see them. The plant library should make it a 
point to circulate books on games and sports, and keep for 
ready reference a number of good outdoor-life magazines and 
publications. The more intelligently this kind of work is done 
the more effective will be the results among the people through- 
out the organization. 

The Democracy of Play 

What has thus far been said should not convey the impres- 
sion that recreation work is something to be confined exclu- 
sively to the rank and file. Play is a great leveler of the right 
sort. Recreation is the maker of friendships and good-will 
among all those who share it in worthy fashion. At this 
period there is no great nor small. President and sweeper are 
common fellows when the play is on. The observers count 
for less than the participants. Exhibitions and performances 
in which the few take part have their place, of course, but 
that program is best in which all can have a place and a part. 
There should be no room for favorites; here all are needed 
and wanted — particularly those who are shy or reluctant, and 
feel out of place. The utmost consideration should be exer- 
cised toward such as these. It is far better to get a handful 
of people who feel themselves out of it, to join in the spirit 
of play program, than it is to develop and encourage a 
champion. 

The prize performer has his place; the natural leader is 
always an asset if his preeminence does not smother and dis- 
courage the more modest efforts of others; but the "greatest 
good of the greatest number" is the only safe rule and policy 
in every program of plant recreation. 

A good measure of the success of any such program is 
not how many stars have been made to shine, how many prizes 
captured — though nobody will belittle the satisfaction in such 



THE WORKER AT PLAY — THE NEED 21 7 

achievement — but how large a percentage of the total organiza- 
tion has been stimulated to join in. The degree of absen- 
teeism here is the final test; and the reduction of the number 
of those who have no share in the activities is the ultimate 
goal and measure of accomplishment. 

From a superficial viewpoint the results may not be so 
dramatic; from the viewpoint of the organization as a whole, 
no other policy will carry forward the true aims of recreation 
work. One hundred per cent is a good slogan for this work. 
No one, unless so advised by medical authority, should be 
left out. Groups may well be subdivided for one activity or 
another, but 100 per cent participation is the aim of all plant 
programs for recreation. 

The Alien in Recreation 

Reference has been already made to the contributions that 
the alien can make to a program of play and common enjoy- 
ments. It is often noticeable that games, like languages, are 
something that need to be acquired, and the methods of acquir- 
ing them have to be planned with intelligence. The teacher 
of English does not start by ridiculing the mother tongue of 
the alien who is to be taught. In the recreation room and 
on the playground the same tact needs to be employed. Plays 
and exercises traditional with the alien have often been sub- 
jected to disheartening ridicule, with the result of driving him 
away from play activities. 

He gets the "burnt-finger" attitude. Such disaffection is 
a loss to the organization and a handicap to right relations. 
The alien is sensitive about his customs and native mode of 
self-expression, as we should be in the same situation. Fre- 
quently we are not as sensitive as we should be to his sensitive- 
ness. Wise recreation leadership will see to it that not only 
does each member of the organization find a place in the 
activities going forward, but can do so without loss of self- 



2l8 LABOR MAINTENANCE 

respect or danger of humiliation. Perhaps cosmopolitan 
recreation of this kind is as good a start for the right sort of 
Americanization for both native and alien as can be found. 

The Advantages of Athletics 

Play, or recreation, has a great many ramifications; and 
has within its limits two such apparently widely removed 
things as football, and singing. When we speak of recreation 
then, we are shooting at a very broad target. From this point 
on, therefore, we shall consider various forms of recreation, 
examining *the advantages that result to workers from their 
practice. 

The value of athletics is commonly known. We know that 
athletics teach self -discipline, and promote fair play and good 
sportsmanship ; that they develop a healthy mind in a healthy 
body; and that they build up a spirit of co-operation and 
teamwork. 

It should not be hard to see why athletics will build up 
a spirit of co-operation and teamwork. Organized athletic 
activity, whether it is baseball, basket-ball, or some other game, 
appeals to what Joseph Lee calls the "belonging instinct," 
often called the "gang instinct." This instinct — call it what 
you please — properly cultivated and guided into the right 
channels, is a force for good; if it is neglected, it may be 
destructive. 

In any game requiring teamwork the individual merges 
his individuality into that of the group, at the same time 
preserving his own responsibility for the definite performance 
of a special function in that group. That is precisely the idea 
which needs to be cultivated in industry. Training in team- 
work is training in industrial success. A team is governed 
from within; it is cemented together by the team sense of its 
constituent members. Similarly, an industrial corporation is 
a unit only when its members are held together, not by force 



THE WORKER AT PLAY THE NEED 219 

or necessity, but by a common spirit of loyalty, a common 
object, a ''morale," such as exists in the army. 

Motion Pictures 

A great many firms use the motion picture as a method of 
entertainment and education. The motion picture is extremely 
useful in both these ways. Some firms use it to make more 
general among employees and the public, a knowledge of the 
company's products and the processes in its manufacture. 
Other firms hire films to show their employees on certain 
evenings of the week. It is very likely that this form of 
recreation and instruction will become more general in future. 

Restrooms — Example of Eastern Manufacturing Company 

The restroom is another phase — and a very good one — 
of recreation. An excellent example of restrooms as a provi- 
sion for recreation for employees is that furnished by the 
Eastern Manufacturing Company of Brewer, Maine. 

That company has provided two restrooms — one for men, 
and the other for women. The restroom of the men has 
substantial furniture and gives opportunity for lounging and 
smoking. The women's restroom is furnished with wicker 
chairs upholstered with bright patterns to add to the cheerful 
appearance of the room. 

Clubhouses— Work in Mining Camps and Steel Plants 

Clubhouses make possible another form of employee 
recreation. In the mining camps and steel plants, where the 
problem of recreation is especially difficult, a good many of 
the companies have provided commodious and well-equipped 
clubhouses. The features of these houses are dormitories, 
reading-room and library, gymnasium and swimming pool, 
baths (tub and shower), auditorium and dance hall, billiard 



220 LABOR MAINTENANCE 

and poolrooms, bowling alleys, and basket-ball halls. The 
subsidiary companies pay all taxes and insurance, and furnish 
heat. All other expenses are borne by the club members, 
but the initiation fee and monthly dues are very small — 
sometimes, indeed, they are fixed in proportion to wages. 

Recreational Possibilities of the Clubhouse 

The clubhouse is one of the best possible sources of recrea- 
tion. It lends itself to entertainment in a remarkable number 
of forms. In a modern clubhouse it is possible to dine; to 
attend a musical entertainment, a smoker, or a dance ; to watch 
or to play a game of basket-ball or indoor baseball; to swim, 
to run, to bowl, or play pool or billiards; or to gather round 
a piano and sing. 

In addition to all these things, a clubhouse will often have 
adjoining it a large athletic field with tennis courts, baseball 
diamonds, football grounds, and a cinder track. 

The Company Park 

One company, the Eastman Kodak Company of Rochester, 
New York, has laid out a park of thirteen acres, intersected 
by pleasant walks, with carefully tended lawns, flower beds, 
and clumps of shrubbery — thus providing an ideal place for 
the employee to rest and relax during the noon period, and 
after business hours. 

The Country Club 

Related to the clubhouse, yet not wholly like it either 
in conception or operation, is the country club. The Curtis 
Publishing Company of Philadelphia has a country club con- 
ducted and maintained by the employees. Any employee may 
join, subject to the approval of the membership committee. 
The dues are nominal ; but owing to the fact that the majority 



THE WORKER AT PLAY THE NEED 221 

of the employees are members (there are a great number of 
them), the aggregate amount collected is sufficient to pay- 
expenses. 

The club conducts its activities through committees, such 
as the sports committee, the home and grounds committee, and 
the educational committee. One of the features of the club 
is, that during the winter the educational committee holds 
classes in cultural subjects. 

Music as Recreation 

In its universal appeal music is a unique form of recrea- 
tion. More persons are capable of participating in a musical 
entertainment than in any other form of group activity, and 
music offers a means for self-expression that is unequaled. 
As a factor in the "morale" of a group, the importance of 
music has been recognized since ancient times. One has but 
to notice the effect of a brass band upon a tired and foot-sore 
regiment to appreciate the wonderful value of music. Particu- 
larly where a group presents diversified racial elements, is 
music found to be a common language and a means of bringing 
these elements together on a basis of sympathetic understand- 
ing of one another. Music is the great social cement. Music 
may take various forms in an industrial concern. Many con- 
cerns have choruses, orchestras, and brass bands, as well as 
small group singers or instrumentalists. 



CHAPTER XVI 

THE WORKER AT PLAY— METHODS OF 
RECREATION 

Scope of the Chapter 

In this chapter we shall set forth the various methods by 
which numerous industrial concerns are enabling their em- 
ployees to obtain real rest and recreation, and a complete 
change of environment from that of their ordinary occupation. 

The Wagner Electric Manufacturing Company 

The Wagner Electric Manufacturing Company of St. 
Louis, for example, has an athletic field and a basket-ball hall 
for its workers. Employees of this company have nine base- 
ball teams, eight of which are interdepartmental, the other 
representing the company in another league. Members of 
the winning team in each league are entitled to a bronze, 
silver, or gold watch- fob, and their work is appreciated by 
fellow-workers. In winter the athletic field is lighted at night 
so that games may be played. Soccer and baseball are the 
most popular games at this plant. 

The company shares equally with employees the cost of 
uniforms and the other expenses of the athletic work. It 
does this because it believes that only the man who is willing 
to pay some money is willing to spend the necessary time 
in making athletics a success. 

The larger teams of the company are entered in the Muni- 
cipal Association of the city. This association, not the com- 
pany, controls the teams of the city. Its executive board is 
thoroughly representative, consisting of a manufacturer, a 

222 



THE WORKER AT PLAY METHODS 223 

priest, a minister, a delegate from the Young Men's Hebrew 
Association, another from the Young Men's Christian Asso- 
ciation, a sporting editor, and an athletic director. The 
discipline of the association is strict, but the decisions of the 
board have never been questioned. 

Six baseball teams are organized to train players for the 
star team of the association. During the week three games 
are held in the evening, and a regular match game on Saturday 
afternoon. Basket-ball is organized in the same way. 

Any employee of the company may become a member of 
the athletic association by paying 25 cents a month. The 
employees have a clubhouse which is equipped with bowling 
alleys, pool and billiard tables, a basket-ball floor, lockers and 
baths, reading-rooms and cardrooms. The house is open from 
6:30 in the morning until after midnight. 

Boxing matches take place every Thursday evening 
throughout the winter, the champions taking part in the spring 
tournament. 

A field day is held once a year at which prizes are given 
for the 50-yard dash, the 100-yard dash, and the tug-of-war. 
Women as well as men may enter these contests. This field 
day is an event greatly looked forward to. 

Interdepartment Games 

At the Minnequa Steel Works of the Colorado Fuel and 
Iron Company, there is a league of several teams, representing 
the various departments, which play regularly; and an annual 
field day on which a championship baseball game between 
teams of different counties is played. The grounds and grand- 
stand near the plant afe provided by the company. This firm 
has also established playgrounds for children under super- 
vision of an instructor whose salary it pays. 

At Sopris, Colorado, a coal-mining camp, the recreational 
work is under the supervision of the Y. M. C. A., which has 



224 LABOR MAINTENANCE 

a large assembly hall and rooms for bowling, billiards, reading, 
and other activities. 

The United States Steel Corporation 

The United States Steel Corporation has established more 
than 125 children's playgrounds. Most of these are located 
on the unoccupied land near the plant, or mine, and are 
equipped and maintained at the expense of the company. 
The company's playgrounds are not restricted to the use of 
the children of the employees, but are open to all children of 
the community. At some of the plants the playgrounds are 
located within the enclosure of the plants or works. Com- 
petent instructors employed by the companies are ordinarily 
in charge of the grounds, the equipment of which is the usual 
paraphernalia found in city playgrounds, although very often 
additional devices have been installed, such as swimming 
pools. The children of the miners and workmen generally 
avail themselves of the advantages of these playgrounds. 

Many of the subsidiary companies encourage baseball 
among their employees. Grounds and stands have been pro- 
vided for the use of teams composed of employees. In some 
of the companies, teams are organized at the various plants or 
mines, according to the national baseball rules, and these 
teams play regular schedules. The president of one of the 
subsidiary companies donated a silver cup which is played for 
from year to year by the teams from the various mines of 
the company. The teams of subsidiary companies also play 
each other, as well as organizations of outside concerns. These 
subsidiary companies have provided 100 baseball grounds for 
the use of their employees. 

The companies do everything in their power to foster this 
sport. Committees composed of employees are appointed by 
the management to supervise the games and arrange the 
schedule, although it would be much better if these committees 



THE WORKER AT PLAY METHODS 225 

were selected by the employees themselves. Besides baseball, 
provision is made for other outdoor games, such as tennis or 
handball. 

The Bush Terminal 

The Bush Terminal, Brooklyn, New York, employs about 
30,000 workers, and furnishes them many opportunities for 
recreation. There are restrooms for men and women — that 
for women containing a piano, with a large space for dancing. 
There are facilities for bowling, billiards, basket-ball, and 
various gymnasium sports in the winter, and baseball, tennis, 
and water sports in the summer. The women eagerly take 
advantage of the opportunities for tennis and basket-ball. 

The Pennslvania Railroad System 

The Pennsylvania Railroad, in order to make sure that 
its employees will have sound minds and healthy bodies (which 
they must have, say the road's officials, to insure safe and 
efficient operation), in 191 5, maintained on the roads east 
of Pittsburgh alone, 32 baseball fields, 33 tennis grounds, 7 
running tracks, and 1 golf course for their employees. 

A field day is held once a year. On this occasion a cup 
is given to the winning athletic team, and to each member 
of the winning team* a small gold medal is presented. Nor 
are the efforts of the company confined to outdoor sport. 
During the winter, recreational facilities include indoor base- 
ball, indoor track events, basket-ball, bowling, pool, and shuffle- 
board tournaments. 

The National Cash Register Company 

The National Cash Register Company, Dayton, Ohio, 
provides facilities for recreation which include tennis courts, 
a golf course, dance hall, basket-ball court, quoits, pool-tables, 



226 LABOR MAINTENANCE 

children's play apparatus, baseball diamonds, and other ar- 
rangements. 

Sears, Roebuck and Company 

At Sears, Roebuck and Company, a physical director and 
coach is in charge of the athletic work. Ball grounds and 
tennis courts are provided as well as clubhouses for both men 
and women. There are nineteen baseball teams, all playing 
regular schedules. In the summer several tennis tournaments 
are held. The season ends in a large field meet. 

The Goodyear Tire and Rubber Company, Akron, Ohio, 
early in 191 7 erected a hall to accommodate the social and 
athletic interests of employees. This hall is of brick and 
steel; it is about 400 feet long by 170 feet wide; the front 
is four stories high ; the rear is two stories high. The building 
contains a gymnasium, an auditorium, bowling alleys, handball 
courts, showers, reading and smoking rooms, and other con- 
veniences. 

Athletics are under the supervision of a director who 
co-operates with all regularly elected team officers. In 19 16, 
for the entertainment of the entire plant, what was perhaps 
the largest athletic meet ever staged by an industrial organiza- 
tion in this country took place. Forty-three separate athletic 
events were scheduled. These included boxing, wrestling, a 
baseball game between the factory "All-Stars" and the Boston 
branch, races of all kinds, novelty events, tugs-of-war, etc. 
All expenses were borne by the Goodyear Company, and, in 
addition, about $1,700 worth of prizes were distributed. 

The Curtis Publishing Company's Country Club 

In the preceding chapter (see page 220) we mentioned 
the country club of the Curtis Publishing Company of Phila- 
delphia. The features of this club merit further enlargement 
here. 



THE WORKER AT PLAY — METHODS 227 

Connected with this country club are an outdoor swim- 
ming pool, two baseball diamonds, where teams representing 
the divisions of the company play every week-end for .the 
championship, a football field, a quarter-mile cinder track with 
a 200-yard straight-away, and six tennis courts. The club 
exercises an excellent influence among its personnel, and aids 
the company in maintaining the right plant spirit. 

The boys of the company, about one hundred of them, 
are organized into the Curtis Junior Club which is a self- 
governing organization. Several times each week athletic 
drills are conducted in the boys' clubroom under the direction 
of an athletic coach provided by the company. Basket-ball 
and baseball leagues, comprising teams representing the vari- 
ous departments and divisions of the company, furnish oppor- 
tunities for spirited contests. The basket-ball games are played 
in the athletic cage on the roof of the building, or in a nearby 
gymnasium. 

The Brass Band 

For several reasons a brass band is one of the best forms 
of musical organization. A band furnishes for both players 
and listeners a particularly agreeable form of recreation. 

The tone of "brass" carries better in the open air than that 
of other instruments, and one of the excellent features of a 
brass band of employees is the open-air performances they 
can give. 

The impetus toward establishing a band comes best from 
the employees themselves rather than from the employer. If 
the employer wishes to initiate such an interest, it would be 
well for him to consult some of his employees and consider 
the matter with those of them who are musical or who can 
put the matter properly before the other employees. The 
latter then can appoint a committee to discuss further details 
and effect an organization. 



228 LABOR MAINTENANCE 

Generally one may find employees who can play an instru- 
ment; but if not, it is not a difficult matter to teach them 
how to play if a competent instructor is employed. 

Where employers feel that there is a real desire on the 
part of their employees to organize a band, they often will 
give them the use of a place for practice, and in addition 
will contribute to the expense of instruments and uniforms. 

Operating Expenses 

Generally speaking, however, the best results come when 
the operating expenses of the band are met by the subscriptions 
of members. That leads to a desirable feeling of personal 
ownership and responsibility. It is not a bad plan, of course, 
to have a list of honorary members who also subscribe and 
in return receive certain privileges, such as reserved seats at 
concerts and so on. 

The greatest expense is that for instruments. Arrange- 
ments can generally be made with dealers whereby the instru- 
ments may be paid for on the instalment plan if necessary. 
Some firms are willing to advance the entire sum required for 
the purchase of instruments on this basis. As for uniforms, 
many concerns assume the entire cost ; in others the employees 
themselves give special entertainments or dances to raise the 
necessary money. It is well to bear in mind that the success 
of the band will largely depend upon the fact that the instru- 
ments are the collective and not the individual property of 
the members. 

If possible the band should have a reserve fund, a per- 
centage of the dues being used to build up this fund. Such 
a fund could be used for traveling expenses or in emergency. 
All the band's property, such as instruments, music, music- 
racks, etc., should be vested in the hands of trustees (six 
has been found to be a good number), three of whom should 
be chosen by the players and three by the honorary members. 



THE WORKER AT PLAY — METHODS 229 

The affairs of the band, arrangements for practice, concerts, 
and other business should be managed by a committee elected 
annually at a general election of all players and subscribers. 

Organization and Practice 

As to practice, a steady half-hour devoted to this daily 
at noon hour or after working hours is of more value than 
longer periods at less frequent intervals. Those who need 
special practice should be rehearsed separately or be allowed 
to take their instruments home for the purpose. 

Among the firms that have been successful with bands 
may be mentioned the Waltham Watch Company, the North- 
western Steel Company, Portland, Oregon, which last year gave 
lunch-hour concerts twice weekly, on Monday noons for the 
day shift, and on Friday evenings for the first night shift; 
the Minnequa Steel Works, the Bethlehem Steel Corporation 
subsidiaries, the Commonwealth Steel Company, United Shoe 
Machinery Company, and a host of others. The Lake Torpedo 
Boat Company Marine Band, as organized, consists of six 
trombones, four cornets, four clarinets, one piccolo, three 
brass horns, two baritone players, three alto horns, four drums. 
While this is not an ideal arrangement, it is suggestive for 
others. 

The Ford Motor Company in 19 10 organized a band of 
55 pieces. All the members of the band, including the director, 
are employees of the company. It is interesting to note the 
large number of occupations represented in this organization, 
as by far the largest number of the members are employed 
in the shops as machine operators, bench men, factory clerks, 
tool-makers, pattern-makers, and foremen. 

Each year the company arranges a series of concerts in 
an auditorium which it provides, so that the entire Ford 
organization may have the pleasure of hearing high-class and 
light music at no cost to themselves, all the expense of the 



230 LABOR MAINTENANCE 

band being borne by the company. Fifteen nationalities are 
represented in the band. 

The band of the Eastern Manufacturing Company is made 
up of 26 pieces. The instruments are either the property of 
the men or are bought by the association and loaned to new 
members. The town of Easton last year contributed $150 
to the band, as a mark of the appreciation of the community. 
A small orchestra of 10 pieces also gives concerts and plays 
for dances. 

At the New Jersey Zinc Company, there are three bands, 
a town band made up of workers at the plant, a Slavic band, 
and a Hungarian band. The town of Palmertown, Pennsyl- 
vania, is so much interested in employees' bands that it has 
contributed funds for the erection of a new bandstand where 
public concerts are given once a week. 

The Ellsworth Collieries Company at Ellsworth, Pennsyl- 
vania, has organized two boys' bands and two bands for 
adults. On special occasions the bands of the boys and adults 
are combined. In addition to these bands the company has 
a Russian Glee Club of 16 members who have done splendid 
work on many occasions. There is also a Croatian orchestra. 

Other Musical Activities — Their Influence upon Morale 

Singing is another phase of musical work of importance. 
The Pierce-Arrow Glee Club has been very successful. The 
men of the company have organized a drum corps of 30 
pieces, and song festivals of employees are held from time 
to time. Group singing at the Armour plant, East St. Louis, 
is another example. 

In the cigar factories in Havana, not only do the workers 
sing at their work, but professional artists play and read for 
their entertainment. As a result of this there have been 
marked improvements in production. Some concerns provide 
a talking machine with good dance records, operatic music, 



THE WORKER AT PLAY METHODS 23 1 

and instrumental solos. These concerns are small ones. The 
time will soon come when this idea will be carried out by- 
large concerns where the conditions are such that the noise 
of machinery will not interfere with incidental music if it is 
supplied. 

Some Company Organizations 

The musical organization among employees is an important 
part of the work of the United States Steel Corporation. 
Brass bands and male choruses have been developed at the 
various plants of the company with considerable success. These 
musical organizations not only provide local entertainment 
but are frequently invited to adjacent towns. One of the 
companies provides a room with a piano for the rehearsals 
of its orchestra, and another has built a pavilion for outdoor 
dancing for which music is provided by the employees' band. 

These organizations also provide musical entertainment 
at the lectures on safety and other affairs given for the benefit 
of employees, their families, and their neighbors. They are 
therefore an important feature of community entertainment. 
The association is free and instruction is furnished without 
cost. 

The Curtis Publishing Company has an orchestra to which 
employees may belong. The concerts which the orchestra 
gives every few months in the Curtis Auditorium draw large 
crowds of real music lovers. The orchestra has full instru- 
mentation; and its soloists are recruited from the working 
force. Rehearsals are held weekly. 

Sears, Roebuck and Company are doing much in musical 
activities. An employees' musical association has recently been 
organized for the purpose of developing musical talent. Mem- 
bership is open to all employees who are interested and possess 
the necessary qualifications. Active organization work is now 
being carried on with a view to the development of a band, 



23 2 LABOR MAINTENANCE 

an orchestra, a glee club for the men, and a chorus for the 
women. 

Glee Club of Metropolitan Life 

About nine years ago a few male employees in the home 
office of the Metropolitan Life Insurance Company who were 
church choir singers, conceived the idea of organizing a glee 
club. It was a purely independent organization of employees, 
who at their own expense engaged a professional conductor 
and accompanist. Rehearsals were held in a room provided 
by the company and in return the club gave concerts to the 
company's office force. As the club grew and became more 
ambitious, it was necessary to raise funds, and this was done 
by securing voluntary contributions from the higher paid male 
employees who pledged themselves to annual subscriptions of 
approximately $3 a year. This entitled the subscribers to be 
listed on the programs as contributory or associate members 
of the club. 

The club has performed at many of the company's banquets 
and conventions, and in return for this the company has 
donated a certain sum of money each year to the maintenance 
fund. The club is still active, having about fifty members, 
is thriving and doing good work. The expense for the year, 
covering conductor, accompanist, music, outside paid soloist, 
and so on, is about $600. 

In addition to the glee club there is an active banjo and 
mandolin club composed entirely of girls, about forty in num- 
ber. The club assesses its members, engages its own in- 
structor, gives free concerts to the home office employees, and 
pays all of its expense except a small annual contribution 
from the company. 

The band was organized in a similar way. It has active 
and associate membership and its assessments in the form of 
dues are used to meet current expenses. An experienced band- 



THE WORKER AT PLAY — METHODS 233 

master was employed and rehearsals were held almost daily 
for months until the band became proficient. When the war 
broke out there was a great demand for the services of this 
band in the Liberty Loan and War Savings Stamp campaigns, 
and at that time the company furnished the members with 
complete uniforms. The band is practically self-sustaining. 

Choral Society of Strawbridge and Clothier Company 

An unusually good chorus and one which is known 
throughout the musical world is the Choral Society of the 
Strawbridge and Clothier store in Philadelphia. It gives two 
public concerts annually. Its record includes about 130 con- 
certs — 12 given in the Academy of Music, 13 at Willow Grove 
Park where musical organizations of international reputation 
give concerts, and about 100 in the store at Christmas and 
Easter. Apart from the choral society, the employees of this 
store have an orchestra. 

Dramatics 

Among the many activities which groups may profitably 
engage in, whether in connection with their own clubhouse 
or club, are dramatics. As a method of self-expression and 
recreation too much cannot be said in favor of this form of 
entertainment. So important did the great English firm of 
Vickers Limited consider this work, that in July, 19 16, they 
built a special theater for it. Unfortunately the theater was 
burned a short time later, but during its brief existence it 
gave 138 performances. Good comedy was most popular. 

Excellent productions of playlets and operettas by em- 
ployees in industrial concerns are not uncommon. The em- 
ployees of William Filene's Sons Company of Boston, recently 
gave two performances of a musical comedy written and 
acted by employees to capacity audiences at a large theater. 



234 LABOR MAINTENANCE 

Suggestions for "Putting On" a Play 

For the benefit of readers who are interested in the prac- 
tical side of employee dramatics the following brief sugges- 
tions are offered. Where employees are to give a play several 
points must be considered: 

1. The size of the cast. 

2. The ability of the cast. 

3. The kind of play to be produced. 

For every play that is given a director should be chosen 
to conduct rehearsals and see that proper "cuts" in the text 
are made if necessary to make the play a success. 

In addition there must be a stage manager who "holds" the 
prompt-book and keeps a careful record of stage business — 
entrances, exits, and of the music, if it is used. Other neces- 
sary officers are a business manager who handles all financial 
matters, a property man who supplies all the objects used, a 
"light" man to take care of all stage lighting, and a costume 
man (or wardrobe mistress). 

It is advisable that plays should be rehearsed in the halls 
in which they are given; but if this is impracticable, a room 
as near the size of the stage as possible should be used. It 
is important to use the full number of "props" or articles of 
stage furniture from the very first rehearsal to get the actors 
accustomed to their surroundings. Another point is to have 
a copy of the play in the hands of each actor, or at least a 
copy of his own part in the play. 

The first rehearsal should consist of a reading of the play 
only, each actor taking his part; this will give each member 
of the cast an intelligent idea of the play as a whole. 

At the second rehearsal, the director should "block" out 
the action. By this is meant supplementing the stage direc- 
tions of the text, which are often vague, by indicating on a 
diagram exactly where every article of furniture, window, 



THE WORKER AT PLAY — METHODS 235 

etc., is to be placed, and showing clearly what is the action 
required of each character. 

A Final Word 

We have discussed some of the more important factors 
in recreation for employees, but before leaving this discussion 
we should bear in mind that the question of recreation in 
connection with industrial establishments is, in the opinion 
of many who have studied the problem, subject to argument. 
The attitude of the workers themselves is exceedingly im- 
portant and enlightening if they are willing to be entirely 
frank about it. The need varies with conditions. If the 
community offers good recreation facilities there is less reason 
for the industry to establish its own equipment. 

Employees do not always show enthusiasm for recreational 
work in connection with their employment. Investigators of 
working and living conditions among women workers have 
found, when interviewing these girls and women, frank 
acknowledgment that they did not care to participate in 
choruses, dramatics, and other forms of recreation under the 
auspices of the employer; that many of them did so only 
because they feared the loss of their position if they refused 
to join. That this is a true picture is borne out by the 
experience of those who have seen attempts at whipping up 
enthusiasm for recreational work in plants where the manage- 
ment was far from clear as to its relations with its employees. 
An energetic director of recreation may stimulate employees 
into activity for their own benefit; but unless the employees 
themselves feel free to enter into or reject such activity it 
would be better to drop the matter entirely. 



CHAPTER XVII 

ACCIDENT PREVENTION— SAFETY WORK 

Place of Safety Work in Labor Maintenance 

In spite of the fact that common sense as well as experience 
has taught us that the conservation of man-power through 
accident prevention is essential to labor stability and maximum 
production, there are still many firms which have failed to 
realize the importance of organized safety efforts in industrial 
plants. The losses in life, time, money, output, and good- will 
because of accidents which are largely avoidable have been 
terrific. And the situation, at present, while considerably 
improved, is still serious and must be dealt with promptly 
and from an enlightened point of view. 

No policy of labor maintenance can be a success unless 
it concerns itself with the safety factor. The increased use 
of machinery, the lack of skilled workers, the presence in 
industry of large numbers of foreigners who are not able 
to understand orders or appreciate the dangers which con- 
front them at every turn, and the natural tendency of workers 
who are in dangerous work to grow careless, places a respon- 
sibility upon management which cannot be avoided. There 
is no room for a policy of laissez faire, or indifference. 

Modern industrial accident compensation laws place the 
burden of financial losses of accidents upon industry. Public 
policy demands that employment be free from hazards which 
can be removed by intelligent, co-operative effort of employer 
and worker. Viewed, therefore, from the point of economy 
alone, active measures must be taken to reduce this loss. But 
there is a more important matter to be considered and that 

236 



ACCIDENT PREVENTION SAFETY WORK 237 

is labor maintenance. It is hardly possible to attract good 
workers or maintain them where the hazards of the job are 
great, and where men are killed or maimed owing to the 
lack of proper safeguards or interest in the employees' wel- 
fare. There is no question whatever but that safety work 
should receive close attention — it pays. Its results are measur- 
able in terms of money and human values. 

Safety Work Pays 

Where properly carried on, safety work has brought about 
startling reductions in the cost of insurance, in the expenses of 
plant operation, in the expense of labor turnover. It has 
helped eliminate the fear of premature death or disablement 
on the part of the worker. Stated in positive terms, it has 
increased output, has developed the employee's interest in his 
job, and has made for greater stability. Mutual interest in 
one another by employer and employee has grown out of this. 

In a letter to the author, Arthur T. Morey, General Man- 
ager of the Commonwealth Steel Company, writes: 

To my mind the question, "Does it pay?" to have a 
plant safe and operating under the best working conditions 
is the same as asking, "Does it pay for the sun to shine? 
Does it pay to be right in anything? Does it pay to be 
efficient? Does it pay to have good health? Does it pay 
to have right morale in the shop?" I would say it has paid 
very handsomely, not only in contentment and satisfaction 
and harmonious conditions, but in output and financially as 
well. 

To illustrate his point, Mr. Morey further says : 

Our liability insurance rate used to be $2.16 per $100 of 
pay-roll. When we found we could safeguard our plant and 
teach the men safety, we so cut down our accidents that 
we are now carrying our own risk and in 1918 we had 
compensation losses amounting to 12 cents per $100 of pay- 
roll. We have, of course, put a great deal of money into 



238 LABOR MAINTENANCE 

the safeguarding and safety work, but even so, we are 
ahead. 

C. W. Price, the eminent safety expert, at a meeting of 
the New England Branch of the National Safety Council 
held in Boston in 191 7, stated that at least 65 per cent, pos- 
sibly 75 per cent, of all industrial accidents, deaths, and serious 
injuries can be prevented. 

He stated also, by the way, that not more than one-third 
of all the work accomplished by the hundreds of companies 
which have taken up accident-prevention work was accom- 
plished by mechanical guards, and that the other two-thirds 
was accomplished by educational methods by reaching the 
workmen and getting their interest. 

Reduced Accident Frequency 

A survey of about 500 of the larger industries of Ohio 
by the Industrial Commission of that state brought out the 
fact that where there was a well-organized safety department 
with workmen's safety committees, there was a reduction of 
from 25 to 75 per cent in the number of accidents reported 
since accident-prevention work was begun. The result of 
this survey is confirmed by independent observations in a num- 
ber of leading establishments. We may cite here a few of 
these. For a graphical representation of accident frequency 
rates see Figure 13. 

In 19 14, the Atchison, Topeka and Santa Fe Railway 
System, employing then about 70,000 operatives, found, at 
the termination of its second year's work in accident preven- 
tion among employees, that it had reduced the number of 
employees killed 36 per cent and the number injured 10 per 
cent. 

An Alabama shipbuilding concern through the co-operation 
of shop committees and the enforced use of goggles was able 
to reduce its eye accidents by 35 per cent. 



ACCIDENT PREVENTION — SAFETY WORK 



239 



rr 



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240 LABOR MAINTENANCE 

At the Cadillac Motor Car Company, Detroit, safety 
organization resulted in a reduction of 64.54 per cent in the 
number of accidents from September, 1912, to April, 1914, 
inclusive, and a reduction per 1,000 employees of 22.25 P er 
cent. 

Two years ago the Haskell and Baker Car Company, 
Michigan City, began a campaign for safety, and accomplished 
a reduction of 51 per cent in the hours lost on account of 
accidents, made their shop a safe and sanitary one, established 
a finer spirit of co-operation between the workers and the com- 
pany, and effected a considerable reduction in its labor turn- 
over. 

At the Eastman Kodak Company plants in 19 10, there 
were 109.72 accidents per 1,000 employees. In the first six 
months of 19 14, the rate was 14.99. This decrease in rate 
was accomplished by the use of safety devices and educational 
work. 

At the Pacific Gas and Electric Company from 19 13, the 
year before safety work was begun, to 1916, there was a 
reduction in fatal accidents of about 56 per cent. 

In 36 months, the United States Cartridge Company 
effected a reduction of 66 per cent in its accident frequency 
rate. 

The Pullman Company, through its accident reduction 
campaign, reduced the average time loss in minutes for each 
employee per month, from 48 minutes in January, 19 13, to 
14 minutes in May, 19 14. 

Decreased Compensation Liability 

The reduction in the frequency of accidents brings a cor- 
responding reduction in the cost of compensation liability: 

The International Harvester Company was able to reduce 
the cost of compensation in all its plants from 54 cents to 
25 cents on each $100. Since safety work was introduced 



ACCIDENT PREVENTION — SAFETY WORK 241 

in this company in 19 10, there has been a reduction of 88 per 
cent in the death and accident rate. 

A prominent contracting firm was able in the year 1916- 
1917, to reduce its accident frequency from 25 to 55 per cent 
and the costs of accidents 13 per cent. 

At the Dodge Manufacturing Company, safety efforts 
decreased the compensation liability of the company from 50 
cents to 7 cents per $100. 

In one year the Alpha Portland Cement Company was 
able to effect a reduction of $9,450.99, or 56.3 per cent, in 
its expenditure for workmen's compensation at its three plants. 

The Milwaukee Coke and Gas Company, started an in- 
tensive safety work, and whereas it paid $3,747.72 in com- 
pensation during the first six months of 191 3, only $562.57 
was the sum for a similar period in 19 14. 

A remarkable showing is that of the United States Steel 
Corporation. In the period from 191 1 to 1915, it spent about 
$5,000,000 for safety. In the three years 1911-1913, it effected 
a gross saving in casualty expense of $4,775,692.64. After 
deducting its expenses for safety, there remained a net saving 
in casualty expense of $2,771,980.35. 

National Safety Council Statistics 

To sum up, the following records of decrease in the number 
of accidents following organized safety work, supplied by the 
National Safety Council which has done notable work in 
stimulating interest in this vital subject, are conclusive evidence 
that safety work does pay: 

American Smelting and Refining- Company 24% 

Bucyrus Company ...."*. 65 

Cadillac Motor Car Company 69 

Commonwealth Edison Company (Public Service Company of 

North Illinois, and Middle West Utilities Company, Chicago) 40 

Commonwealth Steel Company 69 



242 LABOR MAINTENANCE 

Corn Products Refining Company 37 

Eastman Kodak Company 78 

Fairbanks-Morse Manufacturing Company 72 

George Cutter Company 43 

Harrison Brothers and Company, Inc 75 

Illinois Steel Company 65 

Inland Steel Company 35 

International Harvester Company (Wisconsin Steel Company, 

Plant) 88 

Jones and Laughlin Steel Company yS 

A. J. Lindemann and Hoverson Company 62 

Milwaukee Coke and Gas Company 83 

Neenah Paper Company 83 

Packard Motor Car Company 72 

The Pullman Company 46 

Raritan Copper Works 22 

Rochester Railway and Light Company 33 

United States Steel Corporation 41 

Duties of the Management 

In planning and organizing safety work, several funda- 
mentals must be observed. It must begin with the interest, 
enthusiasm, and full support of the general manager or super- 
intendent. A passive interest on his part will not do; he 
cannot leave it to the safety engineer or to the various com- 
mittees. He must use his personal influence to get the work 
started and then must follow it closely. Like all service work, 
effort towards accident prevention requires an alert, whole- 
hearted co-operation which must continue as long as the wheels 
of production are in motion. 

Duties of the Foremen 

Next to the management must come the active interest 
and co-operation of the foremen and other subexecutives. The 
foremen are really the key men. If they are indifferent, 
progress will be extremely difficult, if not impossible. It is 



ACCIDENT PREVENTION SAFETY WORK 243 

the duty of the management to fix the responsibility for acci- 
dent prevention upon the foremen. They should understand 
that in order to hold their jobs they must show activity in 
reducing the accident rate by promoting safety. The duty 
of a foreman according to the new conception of the position 
demands something more than good production records; in- 
deed it is doubtful whether production records, however good 
in other respects, can be really good if preventable accidents 
occur. A new standard must be set. Modern management 
will not tolerate avoidable losses in man-power. No foreman 
is worthy of the name, or of his job, unless he is alive to 
the human factors governing production and able to demon- 
strate the qualities of leadership required of those who handle 
men. 

The work should begin with a conference of foremen at 
which the general manager or the superintendent is the presid- 
ing officer. At this meeting the importance of accident preven- 
tion work should be impressed upon the foremen and their 
part in the program outlined. In a meeting held soon after, 
details of the campaign should be discussed. Each person 
present, should be asked to suggest rules, to tell how he will 
co-operate, and to tell of any "danger spots" of which he has 
knowledge so that these may be listed and action taken to 
remove them. 



The Workmen's Committee 

After this conference to outline the general scheme of 
organization, the workmen's committee should be organized 
and a joint conference held with the foremen to go over the 
plans. Workmen's committees are vital to the success of 
safety organization. Through the workers' co-operation not 
only will results come rapidly but the by-products will be 
satisfactory. The plan for organization outlined below is in 



244 LABOR MAINTENANCE 

successful operation in many plants and is a good example to 
follow. 

Before any plans are developed, except where the concern 
is small, the management should arrange for the services of 
a competent safety engineer who will assist in the work and 
be largely responsible for carrying out the administrative 
details connected with it. There must be constant contact and 
co-operation between the engineer and the works manager 
or management, but he should be a part of the service depart- 
ment and should report to the service manager. While safety 
work is a part of plant operation, the human elements which 
it involves are so important that, like health work and indus- 
trial training work it should be a definite function of the 
service department. Modern industrial practice is based upon 
this principle. 

Duties of the Safety Engineer 

The safety engineer's primary function is to reduce the 
number of accidents and if possible, to eliminate them. This 
he can do in two ways: 

1. By suggesting, developing, and establishing safeguards, 

with the assistance of the management, foremen, 
and workers. 

2. Through education of management and employees. 

These duties are diagramed in detail in Figure 14. The 
safety engineer should direct all accident prevention work. A 
part of his program should be regular inspections of all depart- 
ments. Records of unsafe conditions should be kept and fol- 
lowed up to make certain that the "danger spots" are 
eliminated. He should investigate and report upon serious 
accidents and prepare careful statistics as to all accidents. A 
large part of the safety engineer's success will depend on how 
well he presents his facts to the management and to the 



ACCIDENT PREVENTION SAFETY WORK 



245 



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246 



LABOR MAINTENANCE 



workers. Graphic representation rather than mere statistics 
should tell the story. 



Monthly Record Sheet for Accidents 

The form (Figure 15) produced below is useful in driv- 
ing home the losses from accidents. When the general man- 
ager has to take a foreman to task for excessive proportion 
of accidents, it is often difficult to make the foreman appre- 
ciate his responsibility — his personal relationship to those acci- 
dents — unless he can be made to visualize the losses. The 
figures as to accidents do not mean very much to a foreman 
unless they can be interpreted to him in terms of lost produc- 
tion and money loss. Accordingly, several of the plants with 
which the author has been associated have adopted the plan 
of a monthly record sheet for each department and each 
foreman. 



Time Lost Through Accidents 
Week Endincx 






Employee 


Check No. 


Nature of Injury 


Time Lost 











Monthly Record 


Foreman 


Time Lost 


Money Value 








Total 





Figure 15. Weekly and Monthly Record Sheets of Accidents 

Showing loss in money and production owing to accidents. 

A column is provided in this sheet for the name of the 
subforeman, another for the number of hours lost through 



ACCIDENT PREVENTION — SAFETY WORK 247 

accidents in the department, and another column for the money 
value of the hours lost. All minor accidents are to be recorded, 
and a minimum of fifteen minutes set as the time lost in 
handling such accidents. In order to prevent the possibility 
of the foremen's discouraging men with minor injuries from 
reporting to the nurse and so reducing the record of their 
department, the management made it clear that foremen would 
be held personally responsible for lost time resulting from 
complications arising from neglected treatment in such cases. 
Each week the foreman receives a sheet containing the 
names of employees who received treatment for injuries, state- 
ment as to the nature of their injuries, and, where possible 
to determine it, the time lost. These sheets are summarized 
on the monthly record, which contains no names of employees, 
and are sent to foremen with the request that the sheet be 
posted in a conspicuous place in the shop. In evaluating the 
time lost, only approximate figures are given, but they are 
conservative for they show the loss in employees' time only. 
If the cost to the concern of time lost was included, the 
figures would be even more startling. This would mean a 
good deal of work, however, and for the purpose of the plan 
outlined above, would be unnecessary. 

Safety Specifications for New Equipment 

An important phase of the safety engineer's work, often 
overlooked, is the purchase of new equipment. Modern prac- 
tice requires all new equipment and all changes in old 
machinery to be approved as to safety specifications by the 
safety engineer. Large sums of money have been saved to 
industrial plants in this way. 

Suggested Plans for Organization 

For plants employing over 500 persons, the following 
organization plan will prove successful: 



248 LABOR MAINTENANCE 

i. Plant or general safety committee 

(a) Chairman — plant superintendent or assistant. 

(b) Secretary — safety engineer. 

(c) Three or more department heads of foremen. 
2. Workmen's or departmental safety committees 

(a) Chairman — shop or department head. 

(b) Secretary — safety engineer. 

(c) Three to five workmen appointed by the chair- 

man to hold office for a period not exceeding 
three months. 

The plant committee should assume general supervision 
of all safety work, set standards, plan rules and safeguards, 
and outline educational work for safety. Meetings held semi- 
monthly are generally sufficient. 

The workman's committee should make regular and fre- 
quent inspections and should formulate plans for the protec- 
tion of the worker against dangerous conditions which the 
inspection tours disclose. Reports, recommendations, and sug- 
gestions should be submitted in writing, on a form designated 
for that purpose. It should also be the business of the mem- 
bers of this committee to investigate and report on accidents 
in their departments. Meetings should be held once a month. 

In plants employing less than 500, there should be a safety 
committee headed by the superintendent as chairman, con- 
sisting of the foreman of each department and a workman 
for each department. If a safety inspector is not employed, 
a member of the safety committee may be elected secretary. 
Meetings should be held monthly. These various plans of 
organization are illustrated by Figure 16. 

The Eastman Kodak Company's Organization 

A splendid example of well-organized departmental safety 
committees is that of the Eastman Kodak Company, where 



ACCIDENT PREVENTION — SAFETY WORK 



249 




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LABOR MAINTENANCE 




ACCIDENT PREVENTION — SAFETY WORK 251 

the committees at the different works of the company consist 
of foremen, subforemen, and workmen. The personnel of 
these groups is changed periodically so as to enable every man 
in the department to serve at one time or another. Through 
their suggestion system (see Chapter XVIII), it is possible 
to maintain the interest of committee members whose terms 
expire. The work of the committee consists chiefly of a 
weekly inspection of general conditions, the machinery safe- 
guards, and fire equipment of each department. After the 
weekly inspections the several committees meet in the offices 
of their respective superintendents and discuss their work. 
The superintendent acts as chairman. Records of these con- 
ferences are made and are sent to the managers with recom- 
mendations for their consideration and approval. Ideas and 
suggestions are interchanged between the various departments 
and works of the company. 



The United States Steel Corporation's Plan 

The United States Steel Corporation has an extensive 
safety organization for its various plants. A committee of 
eight, representing seven of the large subsidiary companies, 
is responsible for the general safety policies of the corporation. 
It meets quarterly, makes inspections and studies all serious 
accidents with a view to their prevention in the future, and 
passes upon safety devices. There is also a committee of 
sanitation made up of four presidents of subsidiary companies 
and an officer of the corporation. 

The corporation maintains a central bureau of safety, sani- 
tation, and welfare, to co-ordinate the activities of plant com- 
mittees to improve their conditions. The bureau acts as a 
research agency as well as in an administrative capacity. 
Through it, information is exchanged among the plants so 
that they may have the best thought on their work. Contact 



252 LABOR MAINTENANCE 

with muncipal, state, and national authorities and employees, 
enables the bureau to get the best information available. 

There is a central safety committee consisting of important 
officials from each of the plants, mines, or railroad divisions. 
It holds monthly meetings and its duties are similar to those of 
the Steel Corporation safety commitee. It carries on in- 
spections of the mills. Each plant has a safety committee 
made up of officials whose duties resemble those of the cen- 
tral safety committee but are applicable only to their individual 
plant. The department and special committees are made up 
of foremen, master mechanics, and skilled workmen. Meet- 
ings are held weekly or monthly, periodic inspections made, 
and special investigations of particular problems conducted. 
The workmen's safety committee at each plant consists of 
three workers from the rank and file. Membership is rotated 
to enable every worker to serve. 

Interesting the Worker in Safety 

After the proposed safety work has been organized, the 
next step is to secure the interest of the worker and his active 
co-operation in carrying on the work. The campaign for 
safety must continue every day in the year — sporadic efforts 
will not bring results that count. Unless it is planned with 
a view of interesting the worker and is carried on so skilfully 
as to draw out this voluntary co-operation, it is likely to 
degenerate, after the first spurt of enthusiasm, into occasional 
half-hearted nagging, which will invariably provoke the 
worker's hostility. Under such conditions safety work had 
better not be attempted at all. 

Safety Meetings 

Fortunately the interest of the worker may be gained 
in a variety of ways. Safety meetings are a great aid. They 
should be held often and should have some definite message 



ACCIDENT PREVENTION — SAFETY WORK 253 

to put over. Meetings must be carefully planned and the 
points for discussion outlined. Luncheons or dinners given 
by the safety committees occasionally help to maintain interest 
and enthusiasm. When a concern has several branches in 
various cities it might be well to arrange for regular annual 
safety meetings of department superintendents and assistants 
at some central place. This is the practice of a large manu- 
facturing corporation. 

The key to the success of safety meetings in a plant is the 
superintendent. As the National Safety Council points out 
in one of its excellent bulletins: 

If he can impress the men with his sincerity of purpose, 
that he is heart and soul with them in the fight against 
avoidable accidents ; that, in fact, he is the best "safety-first" 
man on the committee; if he will greet the members cordially, 
make them feel at home, exercise a friendly tact in drawing 
out the best that is in them, and thus create an environment 
of good fellowship and co-operation in the work set before 
them, he will have done more than any other man could do 
to solve the problem of interesting and profitable meetings. 
If, on the other hand, he is cold and indifferent, narrow 
in his views, official in his bearing, and unresponsive, if not 
tacitly antagonistic, to the suggestions offered, he can kill 
the meeting and with it the vital spark of the whole safety 
movement. 

The question of when to make special efforts in pushing 
the campaign is one which frequently comes up. Specially 
intensive work is necessary during the months preceding those 
in which accidents are most frequent. The accident records 
will help determine the time when additional effort should be 
made to promote safety. A certain plant, for instance, found 
that the month of June represented the largest number of eye 
accidents. Additional precaution and special campaigning dur- 
ing this time resulted in a material reduction in the number 
of those accidents. 



254 LABOR MAINTENANCE 

Other Means of Fostering Interest 

The United States Steel Corporation gives entertainments 
at their works and mines, as well as in the churches and 
schools, and presents stereopticon talks and motion pictures 
regarding dangerous conditions and practices. The companies 
issue calendars containing prominently displayed safety slogans 
and pictures to their workmen. Another feature of the safety 
campaign is the free distribution of lead pencils, buttons, 
watch-fobs, and drinking cups, stamped with safety mottoes. 

A Pennsylvania plant last summer gave each of its em- 
ployees a light cap bearing the words "Safety First" in bold 
letters around the crown. 

Signs containing safety slogans in various languages are 
successfully used by plants employing much foreign labor. 
Usually one of these signs is placed outside the entrance to 
the plant in the waiting-room of the employment office. Others 
are distributed about in prominent places in the plant. 

Safety bulletin-boards may be used to maintain enthu- 
siastic support of safety efforts. The material on these bul- 
letin-boards should be neatly and attractively arranged and 
changed frequently. So many boards are cluttered up with 
dog-eared papers and old matter that they are rarely read. 
The material on the board should be arranged to drive home 
one central idea. Too many diverse items cause confusion of 
thought. 

A feature of the safety work of the Dodge Manufacturing 
Company of Mishawaka, Indiana, is what they call "the 
danger target" consisting of a red ball in the center surrounded 
by a blue band, this in turn by a narrow band of white, and 
then a broad yellow band. The red ball bears the words "Stop, 
Think, Be Careful." These danger targets are placed in dark 
corners. 

An effective method of driving home the safety idea is 
through slogans printed on pay envelopes. A series of such 



ACCIDENT PREVENTION — SAFETY WORK 



255 



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SImonds Manufacturing 
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CHICRGO, ILLINOIS 
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'and Signs installed to 
BOOST SAFETY 
The Suggestion Boxes 
are available for this as 
well as reporting new 
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256 LABOR MAINTENANCE 

envelopes with about twenty-four or more slogans, if possible 
one for each week, is inexpensive and profitable. A few 
examples are here given. (See Figure 17.) 

The Avery Company's Campaign 

One of the finest safety campaigns is that conducted by the 
Avery Company of Peoria, Illinois. Its colored charts depict- 
ing the work of the safety inspector are telling in their effect 
upon the workers. For example, one of the shop rules of the 
company provides that "employees receiving injuries of any 
nature, no matter how small, must report immediately in per- 
son to the dispensary for treatment." As a result, in 1914, 
no time was lost in 98.3 per cent of the accidents. Other years 
have a similar record. At the foot of each chart is the state- 
ment, "We cannot profit through our Accident Prevention and 
Medical Aid System until our men have benefited and profited 
thereby." A booklet called "A Letter to the Workmen of 
the Avery Factory/' discussing safety and issued to each work- 
man, is a masterpiece. 

An Accident Prevention Score-Board 

The Dodge Manufacturing Company which has already 
been mentioned, has done notable work in accident prevention. 
One of the features of their work is their unique accident 
prevention score-board which is here reproduced (Figure 18). 
This score-board is 24 feet long and stands inside the main 
gate. The starting point for the month and for the year is 
1,000. Divisions are charged with all accidents resulting in 
absence of more than one day. "Each day's absence," says 
W. L. Chandler, in describing the scheme, "bears a percentage 
charge in proportion to the total number of 'men-days' per 
month division." The question of the degree of hazard is 
eliminated as being equalized in the selection of men because 
of their fitness for their particular kind of work. 



ACCIDENT PREVENTION — SAFETY WORK 



257 



To meet the variation in the sizes and groups of workers 
the company has established a differential charge per man per 
day for time off "which is computed by reducing each division 

_® s „ 



HELP US PREVENT ACCIDENTS 



n 



ACCIDENT PREVENTION SCORE-BOARD 

DODGE MANUFACTURING COMPANY 





NUMBER 1 NAME 
DEP'T. 1 DEPARTMENT 


NAME 
FOREMAN 


0E0UCT10NJ PERCENTAGE 
FOR ABSENCE] MONTH | YEAR 


RANK FOR 
MONTHJ YEAR 




FOUNDRIES 






junE 






30 | CUPOLA £ YARDS 


L Kir.* 


19. 


1000 


1000 


1 


1 




17 CORE ROOM 


C.Schnau 


10. 


1000 


1000 


1 


1 


F0REMAN5 MONTHLY 


IZ SOUTH 


W. Middleron. 


1.5 


1000 


1000 


1 


1 




IS EAST 


R. Allen 


1*. 


1000 


990$ 


1 


7 


■»■•■'*■ 


14 |wE5T 


J.Bichel 


16. 


984 


955 


2 


IS 


ALL DEPARTMENTS 


18 IPATTeRM 


E Gorlncr 


38 


1000 


1000 


1 


1 


16 | CHIPPING 


J 5!ufF 


6. 


934 


907 


5 


8 


OR THE HI6HE5T THREE 


MACHIME. SHOP 


«ORES,WILL RECEIVE 


5 


BEARING 


J Miller 


15.5 


1000 


99 5 


1 


4 




3 


SHEAVE 


R. Pr\em 


10. 


1000 


fi&3 


1 


IS 




3 A 


MACHINE 


J, Rough 


26. 


1000 


958 


1 


14 


PRIZES FOR FOREMEN 


JB 


ERECTING 


J.Comck 


19. 


1000 


997 


1 


' 2 


A 


SHAFTING 


W Mourrs 


32. 


1000 


797 


1 


19 




6 


CLUTCH 


T Kenton. 


10. 


1000 


942 


1 


17 




2 


IRONPOLLEY 


1 r, tl j mon 


10 


950 


965 


4 


13 


OF FIRST PRIZES IN THE 


20 


TOOL 


C. Peterson 


2t 


1000 


995j 


1 


3 


TEAR .WILL RECEIVE A 
«OLOWATCH,AT THCENP 
OF THE TEAR. 


WOOD SHOP 


l-A 


SEGMENT 


F.Yost 


115 


1000 


1000 


1 


1 




l-B 


ARM 


J. Ph. Hon. 


J2. 


1000 


1000 


1 


1 




l-C 


ASSEMBLING 


G.Morsh. 


77 


1000 


991 


1 


6 




l-D 


FINISHING 


G DfGroolc. 


zs 


1000 


977 


1 


9 




OTHER DEPARTMENTS 




7 


STEEL SHOP 


G.HunF. 


13.5 


1000 


993 


1 


5 




27 


INSPECTION 


G.MSfl.ol 


52 


844 


974 


6 


10 




25 


SHIPPING 


G.Shobc 


07 


983 


548 


3 


16 




21 


YARDtSAVMILL 


E.Oils. 


II . 


1000 


971 


1 


II 




23 


POWER 


W. Tupper. 


39. 


1000 


1000 


1 


1 




22 


MILLWRIGHT 


S. Firubaksr 


26. 


1000 


1000 


1 . 


t 




19 


METAL PATTERN 


0. Ford. 


10*. 


1000 


965i 


1 


12 







































ANNUAL COMPETITION 
GENERAL 



All OCPARTMENTJ 
JC0RIN5 1000 FOR TNC , 
TEA*. OR THE ONE HOLD- 
INS RANK ONE IN YEARLY 
PERCENTAGE win RECEIVE 
TWO DAYS PAY EXTRA 

JtCONO NISHCST 
WILL RECEIVE ONI 0AYJ 
MY EXTRA. 



Figure 



An Accident Prevention Score-Board 



Used at the Dodge Plant. Each day's absence bears a percentage charge in proportion to 
the total number of "men-days" per month per division. 



to men-days for each month, and using a multiplier of IO 
to raise the figures to a more workable and understandable 
basis. A division working 50 men for 25 days per month 
amounts to 1,250 men-days; dividing 1,000 by 1,250 and mul- 



258 LABOR MAINTENANCE 

tiplying the result by 10 makes 8 points for each man off one 
day on account of accident in that division. Wide variations 
noticed in a year's competition in the different divisions should 
be the basis of an adjustment of this penalty charge, which 
adjustment should not have to be made during a month." This 
makes penalties equal in large and small divisions. As was 
stated above, minor accidents which do not mean much loss 
of time are not considered and there is no penalty for the 
day on which the accident occurred. 

The employees of the divisions, which score 1,000 at the 
end of 12 months, receive two days' extra wages or such 
portion of that amount as their time and employment bears 
to the full year. Should no department score 1,000, then the 
department ranking highest receives two days' extra pay, and 
the second highest extra pay for one day. General foremen 
of a division which earns these awards participate in the 
award, but may receive only one award if other divisions 
under them have a perfect score. 

Development of Self- Control 

The thing to bear in mind in the whole matter is that, 
as W. Atterbury of the Pennsylvania Railroad puts it, "The 
problem of safety is not altogether a question of rules and 
their enforcement, safety appliances and their application, but 
the development of inherent self-restraint and control." Acci- 
dent prevention is a matter of training and education, a matter 
of intelligent consciousness of dangers, and team play in their 
elimination. 



CHAPTER XVIII 

DEVELOPING A SUGGESTION SYSTEM 

A Suggestion System as an Investment 

There can be no question that a carefully devised plan for 
stimulating suggestions relating to safety, increased produc- 
tion, and improvement of equipment, is a most desirable asset 
in any organization. Experience has shown that some of the 
most profitable measures ever undertaken by a number of 
concerns were prompted by the initiative and resourcefulness 
of some employee. But of still greater importance is the fact 
that a working force that takes sufficient interest to give ideas 
to the management is a triumph in good relations. 

And yet the story of suggestion work throughout the 
country is not, excepting a few shining examples, one of much 
encouragement. Suggestion plans are started, live for a while, 
and die out. Oftentimes the very start is abortive. Does 
this argue that the plan is not workable or worth while? It 
would be a mistake to think so, despite the unfavorable results 
that have attended many a suggestion system. 

In the first place, let us face this question: Have the 
individuals that make up the personnel of an establishment 
any thoughts of their own, or are they merely automatons? 
No intelligent person would make or support the latter asser- 
tion. The history of inventions disproves any notion that a 
body of workers lacks the power, or that no individual in 
such body has the power, to make some worth-while contribu- 
tion. Even though a crowd may have what is called "average 
qualities," by the very law of averages it should be possible 
to draw from it something that will be a step forward. 

259 



200 LABOR MAINTENANCE 

The Influence of Managerial Attitude 

There are two kinds of management, viewed from the 
standpoint of interest in the employee: (i) the kind that 
expects nothing in the way of initiative from its employees, 
and therefore does nothing to make any contribution welcome 
or possible; (2) the other kind which believes fully in what 
may come from a number of people thrown together in a 
common task and charges itself with the responsibility of 
furnishing these people with incentives to use their wits and 
original gifts. 

In other words, the attitude of management is the im- 
portant fact in considering suggestion systems. Is the attitude 
one founded on faith in the men associated with them ? Then 
we may expect things to happen. Is the attitude one of lack 
of faith, disbelief in the mentality of the men? We may 
expect in this case a paralysis of initiative, a reluctance to say 
or do anything that will help the management of the enter- 
prise. Attitude is important right down the line, from the 
president to the sub-boss. 

"Selling" the Idea to Managers 

A suggestion system can be made to work if enough 
thought is given to its organization and maintenance. The 
very first step in undertaking it is to "sell" it to every man 
who holds any place of authority, however slight, in the 
organization. The object of selling it is to put an end to 
the obstruction to initiative that a wrong attitude always 
causes. The wrongness of the attitude does not necessarily 
consist in an active belittlement of the people and their capaci- 
ties. It seldom goes that far. More usually the wrong atti- 
tude is the result of the executive's lack of imagination. The 
fact is probably that he has never had his attention called 
to the possibilities of learning something from the man below 
as well as from the man above. 



DEVELOPING A SUGGESTION SYSTEM 



>.6i 



Many persons in authority need to be told something of 
the excellent ideas and devices that have come in the past 
from men at the bench, from men so frequently overlooked 
because they are shy, or hesitating, or timid. Creative minds 
are not always aggressive. Thinking is a silent process, and 
its expression often depends on the encouragement that it 
receives. It is very easy to freeze the workers' enthusiasm, 
initiative, and productive spirit of co-operation. 

Unpleasant experiences in the past with the wrong atti- 
tude have made many workers feel that any suggestions on 
their part, no matter how important to an organization, would 
only meet with rebuff, and possibly some kind of petty reprisal 
at the hands of their immediate superior. Such occurrences, 
unfortunately, have not been rare; indeed they are the tradi- 
tion of many a shop. 

Obviously there is need of building a new and better tradi- 
tion. It will take time, but it is worth all the time and effort 
it costs. One first duty of the management is to make known 
in the most effective way possible its confidence in the ideas 
that anyone connected with the organization feels like trans- 
mitting. No suggestion or communication from an employee 
should ever go unanswered. Even if the bulk of the com- 
munications should prove low-grade ore, the fact of having 
an interest aroused will carry the organization a long way 
forward. 

At the risk of triteness, it should be insisted that no one 
should ever be humiliated for having tried to be of help. 
There should always be a careful explanation given for the 
inability to accept a suggestion. 

The Right Foundation 

Back of any suggestion system, however, is the necessity 
of giving the people from whom suggestions may be expected 
some insight into the workings and the problems of the estab- 



262 LABOR MAINTENANCE 

lishment which engages them. The trouble with many estab- 
lishments is that they literally pitchfork new employees into 
their departments. There is too little introductory work, work 
of initiation, work of "selling" the plant's standards and ideals 
to the newcomers. In order to think, men must have some- 
thing to think with and think about. 

So the second point in making a suggestion system success- 
ful is to build up in the minds of the employees a useful and 
stimulating conception of the work and organization they give 
their time to. 

Stimulating the Employee's Interest 

Finally, a suggestion system should be a co-operative affair. 
The employees should be active in carrying it on, they too 
should be in the place of judges so that they may view things 
from the angle of management. If, in the course of time, 
a large number of employees serve as members of suggestion 
and prize committees, the organization will find a good-sized 
nucleus of alert interest throughout. There might well be set 
up what might be called competitive committees on sugges- 
tions, with prizes for the committee which meets with the 
largest measure of response from the group or departments 
to which it may be assigned. This decentralizes suggestion 
work, as it really should be decentralized. 

While final judgment and awards may clear through one 
central body, the burden of the preliminaries should be dis- 
tributed throughout the organization. 

Dangers of Mechanical Management 

All that has been written in the foregoing is based on the 
assumption that suggestion systems may be made an important 
asset in management and its problems. It is written in the 
belief that there are unused resources of teamwork and con- 
tributions to progress in the average concern. These assump- 



DEVELOPING A SUGGESTION SYSTEM 263 

tions coincide, fortunately, with the expressed desires of large 
numbers of people who wish to find a stimulus to thought 
in the work that they do. There is a marked reaction against 
a too mechanical scheme of management. This protest against 
rigid and unimaginative conduct of industry has bewildered 
many an executive. His confusion is due to his failure to 
see that men are asking for larger opportunities to be of 
service. So far from being a source of anxiety, this tendency 
is one of the most hopeful facts in industrial life today. The 
wise executive sees in these stirrings the hope of creating a 
more responsive organization. He knows that inertia holds 
back all prospect of sound growth. He regards it as his chief 
duty to sustain the spirit of co-operation, zeal, and inventive- 
ness that his associates in the shop can develop. 



Tapping a Reserve of Energy 

Veteran executives, and those endowed with human in- 
terests know that men in the shop are not the same men outside 
the shop. Many of these men are at their best outside the 
shop, and after working hours. They give rein to qualities 
that the organization they work for may be badly in need of. 
Why should men be less than their best during working hours ? 
Why should they reserve their most valuable capacities for 
usefulness outside the work day, why withhold their best 
energies from their industrial life? It is not because they 
are perverse. It is because the management has not on the 
whole done its full duty by them, and sought to deserve such 
best service. Observe one organization and you see a fine 
spirit at work. You know that human nature is giving a 
good account of itself there. Go to another, and you feel 
certain, after a few moments that no man will do a bit more 
than he absolutely has to, that his affections, loyalties, interests, 
and even his wits were checked at the factory gate when he 



264 LABOR MAINTENANCE 

checked in that morning. Who is responsible for this con- 
dition ? 

In this connection, the experience of concerns with well- 
organized suggestions is well worth the attention of modern 
industrial managers. 

The Eastman Kodak Company's Plan 

One of the best plans is that of the Eastman Kodak Com- 
pany. Its practical aspects are described here for the benefit 



EASTMAN KODAK COMPANY-KODAK PARK WORKS 

' . No. 

Preliminary Suggestion Blank 

USE THIS PORM WHBN IDBA IS NOT COMPLETE OR FULLY WORKED OUT 
We welcome and will investigate carefully any suggestions which will benefit the Company and its employeea. An award will be 
made for all suggestions adopted according to their merit. Put sketches on a separate sheet. 

For complete information regarding use of Suggestion Blanks sec directions primed on back of forms. 



I believe the above suggestion will result in (1) Improvement in Product (2i Reduction in Costs., 

. ,_ (3) Improvement in Manufacturing Meihods -...._._ : — 14) Reduction in 

Accident or Fire Hazard....-.,, - ,-■ -<3) Conveniences^.- _.„.. ........ 1 am asking. 

, Irom..^ and will report in... weeks. Signature of Foreman __ ^ 



Signed Re «- N ° -' De l ,t Date 

Employee's Coupon — Preliminary Suggestion Blank 

l SUGGESTED: No.. 



jpon for reference. 



Figure 19. Preliminary Suggestion Blank. (Size SxyVz.) 

This blank is used when an employee desires credit for a suggestion which he has been unable 

to work out completely. No reduction for advice or help is made in the amount of the 

reward if the suggestion is adopted. 

of those who would adopt a similar scheme. Of course, 
modifications will have to be made to suit the conditions 
peculiar to each concern. At the Kodak Park works of the 
company at Rochester, two sets of blanks like those here 
reproduced (Figures 19 and 20) are left at various convenient 
points. The employee writes out his suggestion, describing 



DEVELOPING A SUGGESTION SYSTEM 265 

his idea fully, seals it in an envelope marked "Manager's 
Office," and drops it in one of the locked mail-boxes which 
are provided for this purpose and from which daily collections 
are made and the contents delivered to the manager's office. 
As soon as the suggestion reaches the manager's office it 
is stamped with the date of the collection. The company 
found this necessary owing to the fact that often different 
employees would make suggestions regarding the same thing 
at practically the same time and the question of priority would 



EASTMAN KODAK COMPANY-KODAK PARK WORKS -j^ 4004c 

Regular Suggestion Blank. 

USE THIS FORM WHEN IDEA IS COMPLETE AS DESCRIBED HEREIN . 

We welcome ftfld wiT) Investigate carefully any suggestions which will benefit the Company and its employees. jAu award will be. 
: for all suggestions adopted according to thiir merit. Put sketches on a separate sheet. 
For complete information regarding U6e of Suggestion Blanks see directions printed on back of forms. 



r — ' " — ■ • * 


I bplinv* Ihp nhniv miftgenrinn will result in M 1 Improvement in Prnilnrr. , , ,.. 


.. .__. ...<2i Reduction in Costs 


_ (S) Improvement in Manufacturing Methods ., ,. 


- H) Reduction in' 


Accident or Fire Hazard . — .... ...(5) Conveniences.... 








Employee's Coupon — Regular Suggestion Blank 




I SUGGESTED! 


XV 48245 


lute V.itk— lie sure lo 


ictvp this coupon for reference. 



Figure 20. Regular Suggestion Blank. (Size 8x 7^.) 
This form is used when the idea has been fully worked out. 

arise. A printed acknowledgment (see Figure 21) is sent to 
each person who has submitted a suggestion and a copy of 
the suggestion is filed (see Figure 22). 

A copy of the suggestion is sent to the superintendent of 
the department with which the suggestion is concerned and 
the superintendent studies the suggestion and returns it with 
his comment to the manager. Should the recommendation 



266 LABOR MAINTENANCE 

of the superintendent (Figure 23) receive the indorsement 
of the manager, the superintendent will be instructed to carry 
out the suggestion and a report like that in Figure 24 stating 



EASTMAN KODAK COMPANY-KODAK PARK WORKS 

SUGGESTION DEPARTMENT 

ACKNOWLEDGMENT OF SUGGESTION" 



Kodak Park, 

To, 

We acknowledge the receipt of your suggestion number for which we 

thank you. It has been referred to Mr. , for investigation. 

You rriay bring to his attention any further information that you may have concerning 

your idea. 

Very truly yours 



Figure 21. Acknowledgment of Suggestion Form. (Size 7^x4 %.) 

Receipt of either the preliminary suggestion blank or the regular suggestion blank is acknow- 

edged on this form. 

that the idea has been accepted, is sent to the maker of the 
suggestion. A report is likewise sent if the idea fails of 
adoption. 



EASTMAN KODAK COMPANY-KODAK PARK WORKS 

SUGGESTION DEPARTMENT 

FILE COPY OF SUGGESTION No. 



Figure 22. Form Used for Filing Suggestions. (Size 8x6^.) 

An important feature of the plan is that each suggestion 
as it passes through the several steps in the process of adop- 
tion or rejection is known only by number. This insures 



DEVELOPING A SUGGESTION SYSTEM 267 

fairness in judgment and the idea stands or falls only on its 
merits. 

A list is made each month of all suggestions which are 
adopted and put into effect during the month, as well as a 
brief description of each suggestion and its advantages, and 
a copy is sent to each member of the suggestion committee, 
which consists of the superintendents of the various depart- 
ments. 



EASTMAN KODAK COMPANY-KODAK PARK 

SUGGESTION DEPARTMENT 

SUPERINTENDENT'S COPY OF SUGGESTION No.-_^, 



Maker coa«:idere suggestion will result in (1) Improvement in Product '">) Reduction in Costa 

(3) Improvement in Manufacturing Method* (4) Reduction In 



Accident or Fire Hazard -.(5) Conveniences 



Date Class Rating _ _ Award Cost 

Swing per Year or Value cf Suggestion 



Figure 23. Superintendent's Copy of Suggestion. (Size 8 x 6}/_.) 

The superintendent studies the suggestion and makes his recommendation onjthis form. 

Awards for Suggestions 

Awards for the suggestions of preceding months are 
made at a monthly meeting. Each suggestion which was 
adopted and put into effect during the month is taken up by 
the superintendent under whose supervision it was put into 
practice and he states what award, if any, in his opinion the 
suggestion should receive. The advantages of the suggestions 
are discussed and a vote is taken as to awards. 

. The amounts of the awards are not fixed. One dollar 
is given for each suggestion adopted. The practice of the 



268 LABOR MAINTENANCE 

company until a few years ago was to set aside $700 for 
awards but now the practice is to reward suggestions without 
restriction as to the total amount to be distributed. In the 
first year of the plan $50 a month was awarded and a special 
annual prize of $100 given for the best suggestion of the year, 
but as in some months there were no suggestions which merited 
the first prize of $25, the plan was modified. The rule was 
inaugurated that no suggestion could compete for a prize 



EASTMAN KODAK COMPANY-KODAK PARK 'WORKS' 

SUGGESTION DEPARTMENT 

REPORT ON SUGGESTION 



Kodak Park, 



To — ^ — . Reporting on Suggestion' No. 



In case your suggestion is adopted, be sure to let us know in case it is not put into operation in a reasonable time, as it may' 
have been mislaid or overlooked. Awards are not made until adopted Suggestions are put into operation. 



Figure 24. Report Blank on Suggestions. (Size 8x 6^.) 

A report stating whether or not the idea has been accepted, is sent to the maker of the 

suggestion. 

which had not been in operation for at least one month 
previous to the suggestion meeting, and that should there 
be no suggestion meriting the first prize this amount would 
be withheld and used as a fund from which to award special 
prizes at the end of the year. As this rule proved to be 
unpopular, it was decided to make awards every two months. 
At the present time, however, awards are made each month 
even when the winning suggestion is not up to the usual 



DEVELOPING A SUGGESTION SYSTEM 269 

standard. It should be noted here that the company pays 
its awards in gold. 

The company believes that monthly rewards are the most 
desirable method of stimulating suggestions. When awards 
were made at quarterly periods there would be a flow of 
suggestions for a week or two after but there was a consider- 
able drop for the remainder of the period. Now that monthly 
distributions are made the flow of suggestions is steady. 

A noteworthy feature of the Eastman plan is that, con- 
trary to the practice in other concerns, it includes foremen 
in its awards. Some of the best ideas were obtained by the 
company in this way. The experiment was made of placing 
the foremen in a competitive group removed from that of 
the workmen but this proved unsatisfactory. 

The National Cash Register Company's Plan 

One of the most successful suggestion systems is that of 
the National Cash Register Company. This company conducts 
six months' suggestion contests and offers cash prizes for 
ideas. Fifteen hundred dollars are offered to 165 employees 
whose suggestions are especially good; in addition, one dollar 
is given for each adopted suggestion to those who fail to win 
one of the larger awards. 

The rules provide that all employees except executive Heads, 
supervisors, department heads, foremen, job foremen, section 
heads, and sales agents, may compete. When similar sugges- 
tions are submitted by two or more employees, credit is given 
to the one from whom the idea was first received. 

Suggestions concerning maintenance repairs, such as 
carpenter work, painting, and electrical, millwright, and plumb- 
ing work are not considered as awardable suggestions unless 
accompanied by an improved method of doing the work. 

Suggestions made by employees affecting their own work, 
when it is within their province to make the change or im- 



270 LABOR MAINTENANCE 

provement, and in fact when it is their duty to improve, are 
not considered for the dollar prize. If, however, the sug- 
gested change has to be authorized by a superior, it is con- 
sidered as a suggestion and the suggester entitled to the one- 
dollar prize, if adopted. 

All suggestions must be written clearly so that the idea 
may be easily understood. The date and signature of the 
employee must appear on each suggestion. Sketches must be 
made on separate sheets and attached to the suggestions to 
which they refer. Any employee who wants information 
or assistance in writing up his ideas may obtain help from 
the suggestion department by writing or calling personally. 
The company gives credit for suggestions which have value 
but which for some reason cannot be put into operation at the 
time. 

Specific directions are given as to the kind of suggestions 
welcomed. The company desires suggestions affecting the 
business in the following manner: 

1. Increasing co-operation. 

2. Improving the quality of the company's work. 

3. Decreasing the cost without decreasing the daily wage 

and lowering the quality. 

4. Eliminating unnecessary and duplicating work. 

5. Better plans for shopwork. 

6. Increasing the sales of the company's product. 

7. Improving blank forms. 

8. Improving the health of employees. 

9. Additional safety precautions to make the work less 

dangerous. 
10. Using the cheaper tools and operations to accomplish 
the same results. 

Complaints are also welcomed and if they lead to an 
improvement receive the same credit as adopted suggestions. 



DEVELOPING A SUGGESTION SYSTEM 271 

Method of Handling Suggestions 

The method of handling suggestions offers several points 
of value to other concerns which contemplate the adoption 
of a suggestion system. Each suggestion is read, classified 
according to the subject with which it deals, acknowledged, 
and entered upon the employee's record card. It is then copied 
without the signature and goes to the proper person for 
investigation. After the investigation a definite report is 
made concerning its merits, and in each case the employee 
is notified of its adoption or rejection. If the suggestion is 
not adopted, the' reasons are given; if adopted, the suggestion 
is put into effect as soon as practicable. If an employee feels 
that his suggestion has not received fair consideration, his 
complaint is handled personally by a member of the suggestion 
department. 

Prizes for the Six Months' Suggestion Contests 

The prizes given by the company fall into the following 
classes : 

1. The best adopted suggestion or suggestions brings an 

award of $100 to the employee making it. 

2. The next best adopted suggestion receives $75. 

3. The next best adopted suggestion receives $50. 

4. The two employees having the next best adopted sug- 

gestions receive $30 each. 

5. The three employees having the next best adopted 

suggestions receive $25 each. 

6. The seven employees having the next best adopted 

suggestions receive $20 each. 

7. The fifty employees having the next best adopted sug- 

gestions receive $5 each. 

8. In addition to the above, $1 is given for each adopted 

suggestion to those who do not win one of the larger 



272 LABOR MAINTENANCE 

prizes. All the adopted suggestions submitted by an 
employee are considered together in awarding prizes, 
so that one might submit a number of minor sug- 
gestions and still win a big prize. A committee of 
eight decides on the value of each suggestion. 

A special banner is awarded to a department on the 
basis of: 

1. The total prize money. 

2. The number of prize-winners. 

3. Number of adopted suggestions. 

4. Average prize money per adopted suggestions. 

5. Average prize money per employee in the department. 

A unique contest also arranged by this company was pre- 
pared for July I, 19 19, when $200 in prizes were given "to 
the mothers, wives, sisters, and daughters of N. C. R. em- 
ployees, except those employed at the factory." A total of 
57 prizes was given as follows: one prize of $25, one prize 
of $20, one prize of $15, three prizes of $10 each, six prizes 
of $5 each, ten prizes of $3 each, fifteen prizes of $2 each, 
twenty prizes of $1 each. 

These prizes were given for suggestions on "all subjects 
pertaining to the company's business." The following sub- 
jects were given as an aid in making such suggestions: 

1. Increasing co-operation. 

2. How can we promote community welfare? 

3. How can we promote the school interests? 

4. How can the conditions of the factory be improved? 

5. How can we improve the health of our employees? 

6. How can the suggestion plan and the prize distribution 

be improved and made more helpful and more 
interesting? 



DEVELOPING A SUGGESTION SYSTEM 



273 



Other Suggestion Systems 

Other industrial concerns have recognized the value of 
rewarding good suggestions and, like a prominent Eastern 
plant, set a definite sum for certain classes of suggestions. 
At this company all suggestions are considered by a safety 
and suggestion council of which the superintendent of the 
service department is secretary. There are four classes of 
suggestions as follows: 





Class 


Estimated to 

Return Net 

Annual Saving of 


Award 


I 


$250 or over 
100-200 
50-100 
25- 50 


$25 
20 


II 


Ill 


10 


IV 


5 





An annual award of $100 is to be given in case there are 
at least five Class I suggestions. 

An honor list posted monthly contains the names of 
workers whose suggestions were good in themselves but which 
the company could not adopt. 

Another concern makes money awards only for sugges- 
tions which will increase output or effect savings. Suggestions 
which concern the general conditions of employment are recog- 
nized by a roll of honor posted on bulletin-boards and noted 
in the employees' newspaper. 

The Hercules Powder Company gives annual bonuses of 
common stock of the company for original suggestions. 

The Northern Connecticut Light and Power Company, 
Thompsonville, Connecticut, pays $1 for each idea or sug- 
gestion relating to improvements in service, or changes in 
present methods of construction, operation, office work, or 
public policy, which result in the saving of time or material. 



274 LABOR MAINTENANCE 

Payments are made each month for such suggestions as are 
adopted and put in force. 

The Commonwealth Edison Company, Chicago, pays one 
dollar for each accepted suggestion tending to further the 
interests of the company in the way of improvements in 
service, increased safety, reduction of expenses, securing new 
business, and so on. Executives and their assistants are not 
entitled to these cash awards when their suggestions are for 
improvements in their own work, as such suggestions are 
included in the duties of their respective positions. 

A Good Suggestion Well Worth Its Cost 

The suggestion system may be made a thing of value to 
the organization. It gives an opportunity for free and helpful 
exchange of ideas. It keeps an organization from dying at 
the top. For these reasons much effort is justified to give 
suggestion work the scope that it should have. Time may 
be needed before any real results show. But the by-products 
will more than repay all outlay of time and effort. 



CHAPTER XIX 

THE EMPLOYEES' LUNCHROOM AND 

RESTAURANT 

Importance of Food upon Labor Maintenance 

The matter of proper food for industrial workers is of 
prime importance in any study of labor maintenance. The 
fitness of the worker is as much dependent upon the food 
he eats as upon the other factors considered in this volume. 
The industrial worker needs energy and that is largely a 
matter of food. Too often we find workers depending upon 
a cold lunch consisting of a sandwich or two, and something 
that satisfies but does not nourish; and this lunch is eaten 
under conditions that are unattractive to say the least. Not 
long ago the author visited a factory employing several 
hundred men and women, chiefly women. When the noon- 
hour whistle blew comparatively few employees left the build- 
ing; few of them lived near enough to be able to go home 
for their lunches. But the condition which brought itself 
forcefully to the attention of the author was the manner in 
which employees had to eat their lunch. Not only did the 
men and women eat at their work-benches (no special room 
was provided for the purpose) but as no lockers were provided, 
the lunches were taken out of the drawers of work-benches, 
from window-sills, and other odd places of storage. The 
wages in this concern were good, the employer had always 
treated his employees well; but what disturbed him was the 
unusually large labor turnover, and the poor production 
records of many employees. While such records were owing, 
in part, to lack of systematic training of new workers, it is 

275 



2?6 LABOR MAINTENANCE 

fair to state that the conditions under which employees had 
to eat, and the lack of nourishing food, especially hot food 
at noon, were responsible for the poor workmanship. When 
the author questioned many of the employees, he found that 
because of this very matter they considered their stay with 
this particular company only temporary. The head of the 
concern, when made aware of this condition, immediately 
arranged for a room and equipment so that the women em- 
ployees could heat their food. This was only a makeshift 
but it helped considerably in improving the spirit as well as 
the workmanship of employees. 

In another concern employing over 3,000 men, the plant 
physician and the visiting nurse discovered many cases of 
absence and of stomach trouble were due to improper food. 
This food was either brought from home, and, because of the 
lack of a suitable place to keep it, had spoiled by noontime, 
or was purchased at one of the cheap shops adjacent to the 
plant. A cafeteria was established by the company and good, 
palatable food was offered at low prices. The result was a 
perceptible drop in the number of absences because of illness. 

Findings of British War Ministry 

This is the usual story. Employers are learning that it 
pays to provide their employees with energy-giving food even 
if it means a deficit in the .operation of the lunchroom or 
cafeteria. During the war the British Ministry of Munitions 
made a thorough study of the question of industrial restaurants 
and found that among the direct benefits were : 

1. Marked improvement in the health of the worker. 

2. Less sickness. 

3. Fewer absences and less broken time. 

4. Diminished tendency to alcoholism. 

5. Increased efficiency and output. 



employees' lunchroom and restaurant 277 

Among the indirect benefits they found: 

1. Considerable time saved for the workers. 

2. A salutary change from the workshop. 

3. Greater contentment among the workers. 

4. Better midday ventilation of workshops. 

5. Increased recreational activities in spare time. 

A Good Business Policy 

That provision of good and varied food for workers at 
reasonable cost is part of sound employment policy, is the 
consensus of opinion of enlightened management. To make 
such provision even at an immediate financial loss, involves 
no philanthropy. No humanitarian motives are necessary. 
The object to be sought is maintenance of the highest efficiency 
of the worker. The following examples are not intended 
to include all concerns which have arrangements for employees 
but only to point out some important features in the ad- 
ministration of employees' restaurants. 

The Pierce-Arrow Company 

The Pierce-Arrow Motor Car Company provides a good 
dinner for its men in the belief that men who work hard need 
a good dinner at noon, not merely a light, cold lunch. The 
nominal charge made does not cover the cost. The meal 
consists of soup, meat, potatoes, various vegetables, such as 
rice, beans, or turnips, bread and butter, and tea, coffee, or 
milk. A man may take as much as he wishes. The menu 
is changed daily, an important point to be remembered. 

The method employed for waiting on the men is an in- 
genious one. The room contains 35 tables, each table capable 
of seating 25 men. One waiter is assigned to each table. The 
waiters are workers in the plant. They leave their regular 
work at 11:15 a.m., and at fifteen minutes later have their 



27% LABOR MAINTENANCE 

lunch — which is furnished to them free. From 12 o'clock 
to 12:30 they wait on the tables; and from 12:30 to 1 :oo p.m., 
they have their noon recess. They are paid their regular 
wages, and no time is deducted except for the half-hour recess. 
One of the best examples of restaurants for employees is 
found at the Curtis Publishing Company which maintains 
several restaurants in its building. In one reserved for women, 
about 1,100 take their lunch every day. In another, about 
1,000 men are served daily. Altogether about 75 per cent of 
the employees make use of the facilities here offered. The 
cost per meal to employees is very low and the company makes 
up the deficit. 

The National Cash Register Company's Lunchroom 

Of the employees of the National Cash Register Company, 
about 5,000 live sufficiently close to the factory to go home 
to lunch ; some bring their lunches, or eat at a boarding-house 
near the factory. 

But for those who cannot, or do not want to do any 
of these things the company operates three distinct lunch- 
rooms : 

1. An officers' club dining-room where about 150 heads 

of departments, supervisors, foremen, assistant fore- 
men, and others in responsible positions take their 
noonday meal. The dues are $10 a month for 
twenty meals. 

2. An employees' dining-hall for the rank and file. About 

1,500 men eat here daily. The charge is 30 cents 
a meal. 

3. A girls' dining-room accommodating about 500. The 

charge for each meal is 15 cents. 

The lunchrooms of this company have never been operated 
with the idea that they would pay financially. In fact, the 



employees' lunchroom and restaurant 279 

company operates at a loss because its prices to employees do 
not conform to the cost of foodstuffs and labor. The average 
loss for the first five months of this year for all three of the 
lunchrooms, including the loss on foodstuffs, cost of prepara- 
tion, serving, equipment, and incidental costs is $3,704.97 a 
month. The commissary department chart (Figure 25) out- 
lines the history, organization, equipment, and results of the 
National Cash Register Company's department. 

Commonwealth Steel Company's Plan 

Officials of the Commonwealth Steel Company believe 
heartily in the value of wholesome food for their men and 
so serve food to their employees at cost. The restaurant of 
the company is used by men from all parts of the plant, who 
are thus brought into closer relationship than otherwise. An 
atmosphere of cheerfulness and friendship pervades it. 

In addition to the noontime lunch, meals are served in the 
morning, at night, and at midnight. According to the monthly 
figures, the average cost to employees has been as low as 
17 cents a meal; but the present figure is higher. About 1,200 
meals are served daily. The cafeteria method is used. A 
Victrola, and occasionally the employees' band, provide music 
during the noon-hour. Not only is the restaurant used for 
regular meals but the banquets of the employees' Fellowship 
Club are held there. 

For those who bring their lunches from home the company 
provides a special lunchroom where the same type of equip- 
ment in the way of tables, etc., is provided, as exists in the 
main dining-room which adjoins it. 

Further Lunchroom Plans 

The National Lamp Association of the General Electric 
Company has a standard cafeteria service in each of the plants 
of the several divisions, and provides substantial lunches to 



280 



LABOR MAINTENANCE 




In the early days of 
the Company, trouble 
was experienced with 
the completed product. 
Thousands of dollars' 
worth of cash registers 
were returned due to 
defects in construction. 
An analysis of the 
trouble showed: 

1. That poor work 
was the result of poor 
working conditions, 
and, 

2. Eating cold 
lunches at the work 
bench lessened the 
efficiency of the 
employees. 

Working conditions 
were at once improved. 
The Company ordered 
hot soup served to all 
women employees. 

In 1896, a dining 
room was opened on 
the third floor of Bldg. 
No. 1, where a lunch 
consisting of two hot 
dishes and a hot drink 
was served. This cost 
each girl five cents per 
week. Each girl 
brought her own bread 
and butter from home. 

October 1, 1903, a 
new dining room was 
opened for the men of 
the office departments 
and the assistant heads 
and clerks of the Fac- 
tory. The following 
was an average menu: 

Bean soup 

Roast beef 

Mashed potatoes 

Bread and butter 

Baked apples 

Coffee or milk 

The charge was 50c 
per week to employees 
earning $12.50 or less; 
75c to those earning 
more. 

June 20, 1905, Wel- 
fare Hall, a new dining 
room for N. C. R. men 
and women, was dedi- 
cated. This hall 
accommodated 2,000 
persons at one time. 



Located on the tenth 
floor of the Office 
Bldg. are two dining 
rooms: 

1. Officers' Club Din- 
ing Room: 

150 Supervisors, de- 
partment heads and 
assistants take their 
daily luncheon here at 
a price of 50c. In ad- 
d i t i on distinguished 
visitors are entertained 
here as guests of the 
Company. 

2. Girls' Dining 
Room:" 

An average of 600 
girls are served warm 
luncheons daily at 15c 
each. In addition, a 
cafeteria service is 
conducted, and a charge 
of 3c made for each 
dish. 

Men's Dining Room: 

The Dining Room 
has a seating capacity 
of 1,350. Hot lunches 
are served at less than 
cost price — 30c. This 
dining room is a 
modern cafeteria and 
100 men can be served 
per minute. 

Dinners are served 
from Monday to Friday 
inclusive. 

Box lunches are 
served to men in those 
departments in which 
the men, because of the 
nature of their work, 
cannot conveniently 
patronize the dining 
room. 

Lunches are packed 
in paraffined, paper- 
lined boxes, coffee or 
soup in bottles and 
placed on hot plates in 
closed trucks and de- 
livered to the men at 
cost. 

Night lunches are 
served to overtime 
workers at less; than 
cost, and gratis to 
straight time 
omployees. 



Kitchen No. 10 
(Officers' Club and 
Girls' Dining Rooms). 

Employees — 7 men, 
12 women. 

Kitchen No. 18 
(Men's Dining Room). 

Employees — 11 men, 
17 women. 

Equipment for 
both kitchens: 

Electric dish washing 
machines. 

EVectric scrubbing 
machines. 

Electric bread and 
meat cutters. 

Steam kettles: 

4 100-gallon steam 
kettles. 

3 60-gallon steam 
kettles. 

1 40-gallon .steam 
kettle. 

5 Vegetable steam- 
ers, 9-bushel capacity. 

2 Electric potato 
peelers, 1-bushel 
capacity. 

Gas ranges. 

Cold . storage plants. 

Brine system Ice 
Cream Freezer, 10- 
gallon capacity. 

Meat broilers. 
•Baker shop: 

Gas or coke oven, 
capacity 250 loaves. 

1 2-barrel dough 
mixer. 

1 pastry mixer. 

Bakes all bread, rolls, 
cakes, pies, and makes 
all ice cream- for the 
three dining rooms. 

Waitresses: 35 girls 
employed in the 
factory departments 
serve as waitresses in 
the Girls' Dining Room. 

Waiters: 2 3 men 
from the Plant Inspec- 
tion Department serve 
as waiters in the 
Officers' Club Dining 
Room. These men 
shave, bathe, and mani- 
cure their nails before 
serving. Clean suits 
are furnished each day. 



Supply a considerable 
part of the garden 
truck used in the 
Commissary Depart- 
ment. 

Number of e m - 
ployees, 5. 

40 acres of ground. 

Overhead sprinkler 
system. 

Produce raised in 1918: 
Potatoes,. 2,000 bushels. 
Tomatoes, 1,500 bushels. 
Cabbage, 2,000 barrels. 

Beets • 300 bushels. 

Turnips .. 300 bushels. 
Lettuce . . 8 tons. 
Carrots .. 250 bushels. 
Celery. . .40,000 stalks , u 
Sweet 

Corn, 7,000 ears. 
Asparagus . . 3 tons.' 
English 
Marrow, 3,000. 
Pumpkins 3)000. 
Spinach . 200 barrels. 
Radishes . 75 bushels. 
Onions . . 400 bushels. 

Mangoes, oyster 
plant, pickles, rhubarb, 
parsley, dill, sweet 
marjory. 

Value of produce 
raised in "1918, $25,000. 

Approximate net 
profit from gardens, 
$20,000. 



Has promoted the 
well-being of the em- 
ployees by' providing 
simple, wholesome food. 
This has resulted in: 

1. Better health. 

2 V Increased 
efficiency. 

3.. Improved product 

4. Increased 

production. 



Statistics for 1918 

Number of meals 
served in: 

Officers' Club 
Dining Room, 34,589 



Girls' Dining 
Room 122,601 



Men's Dining 
Roo* 274,654 



Mtals served 
to help, orches-„' 
tra, overtime ' 
workers, etc, for 
which no charge 
was made .... 97,589 

Special lunches, 
lunches for chil- 
dren, banquets, 
etcj -. . . 26,940 



Grand total 558,820 



Figure 25. Commissary Department Chart 

Showing^the history, organization, equipment, and results of National Cash Register 

Company's Department. 






employees' lunchroom and restaurant 281 

male and female employees. The average cost per person is 
much less than that of the same amount and variety of whole- 
some, well-cooked food at home or at any outside restaurant. 

At the Jeffrey Manufacturing Company about 800 persons 
are served daily; there are two complete lunchroom units. 
The bread, pies, and pastry are baked in the employees' bakery. 

The Joseph and Feiss Company, Cleveland, has separate 
lunchrooms for men and for women. Many employees bring 
their own lunches and supplement them by soup, coffee, or 
fruit furnished at actual cost. Special box-lunches consisting 
of two sandwiches, a relish, pie, and fruit, are served at a 
nominal sum. Each table has someone in charge to help 
promote sociability and see that new employees are introduced 
and made at home. 

At the United Shoe Machinery Company of Beverly, 
Massachusetts, good food at reasonable prices is served in a 
large restaurant. The vegetables are grown in the company 
gardens. For those who bring their own lunches facilities are 
provided for heating the food as well as rooms in which to 
eat it. 

The women employees in the office of the Southern Flour 
Mill are encouraged to learn housekeeping while they prepare 
their noonday meal in a well-furnished kitchen in the office 
building. They work in squads, taking turns at setting and 
clearing the tables, cooking, and serving the meals. 

The Hamilton Watch Company at Lancaster, Pennsyl- 
vania, maintains lunchrooms where coffee, or tea, with cream 
and sugar, is furnished free at the noon-hour. 

The Westinghouse Electric and Manufacturing Company 
also distributes free' coffee to its female employees in their 
lunchrooms. 

The Cleveland Worsted Mills Company serves soup, coffee, 
milk, sandwiches, pastry, fruit, and ice-cream to between five 
hundred and six hundred employees daily. The dining-room 



282 LABOR MAINTENANCE 

has a seating capacity of 656 and is used by about half of the 
office and factory employees. 

At Joseph Bancroft and Sons Company, Wilmington, 
Delaware, a regular dining-room is provided in the building 
set aside for employees. The price of the noon meal is 20 
cents for men and 15 cents for women. Meals are served by 
waitresses. The room is plain but attractive, the walls are 
painted, and the ceiling is of standard mill construction. 
Special tables are provided in another room for those who 
bring their own lunches. 

The cafeteria of the Ohio Malleable Steel Company, 
Columbus, Ohio, is one of the best in the country. 

The Cadillac Motor Car Company operates the restaurant 
in two sections on the cafeteria plan. In one section food 
is served in portions at 3 4/7 cents each (7 tickets for 25 
cents). In the other section the price of each portion is 
5 cents. 1 

Percentage of Employees Using Restaurant 

While employees' lunchrooms may be conducted in plants 
of any size, it is hardly practicable to operate a restaurant 
where the number of employees is less than 200. The general 
experience throughout the country in plants of all sizes, is 



1 Among other concerns which provide special lunchrooms and cafeterias for 
workers, may be mentioned: Bauer and Black, Chicago, 111.; Wisconsin Steel 
Company, Chicago, 111.; Detroit Telephone Company, Detroit, Mich.; Premier-Motor 
Company, Indianapolis, Ind.; Postum Cereal Company, Battle Creek, Mich.; Parke, 
Davis Company, Detroit, Mich.; Air Nitrates Corporation, Ancor, Ohio; Holeproof 
Hosiery Company, Milwaukee, Wis.; Standard Steel Car Company, Hammond, Ind.; 
Continental Can Company, Clearing, 111.; American Sheet and Tin Plate Company, 
Pittsburgh, Pa.; Cudahy Packing Company, Chicago, 111.; Kellogg Toasted Corn 
Flake Company, Battle Creek, Mich.; Link Belt Company, Chicago, 111.; Bemis 
Bag Company, St. Louis, Mo.; Duesenberg Motors Corporation, Elizabeth, N. J.; 
National Malleable Company, Toledo, Ohio; Reliance Manufacturing Company, 
Reliance, Ohio; Champion Ignition Company, Flint, Mich.; American Radiator Com- 
pany, Bremen, Ind.; Linderman Steel and Machine Company. Muskegon, Mich.; 
Hydraulic Pressed Steel Company, Cleveland, Ohio; Armour and Company, Omaha, 
Nebr. ; Prudden Wheel Company, Lansing, Mich.; Larkin Company. Chicago, 111.; 
Wayne Company, Farlet, Ohio; Pensacola Shipbuilding Company. Pensacola, Fla.; 
Illinois Steel Company, South Chicago, 111.; Burroughs Adding Machine Company, 
Chicago, 111.; Union Switch and Signal Company, Swissvale. Pa.; Reo Motor 
Company, Lansing, Mich.; American International Shipbuilding Company, Hog 
Island, Pa.; Submarine Boat Company, Newark, N. J.; Merchant Shipbuilding 
Corporation, Harriman, Pa. 



employees' lunchroom and restaurant 283 

that only from 33 to 40 per cent of the total number employed 
will take advantage of plant restaurants. In some concerns 
it is even as small as 25 per cent. 

Cost and Selling Prices 

It is difficult to estimate the cost of fitting up a restaurant 
for there are several classes of equipment which vary widely 
in price. It is not advisable for an industrial concern to 
install a plant restaurant if it expects to operate without a 
loss, or to show a small profit; because foods, as a rule, are 
sold for a much lower price than in public restaurants and 
much larger portions are given. The cost of food is about 
60 per cent of the selling price, and the overhead expenses 
including labor are about 30 per cent. This leaves a margin 
of 10 per cent to be used as a rolling fund to overcome the 
fluctuation in the cost of merchandise and operating expense, 
for it is hardly possible to purchase all materials for the same 
price at all seasons of the year. 

The great difficulty in the operation of plant restaurants 
is the question of the prices of foods. If the restaurant (in 
order to keep up with the advancing rates of foodstuffs) raises 
its prices, the employee begins to feel that the restaurant is 
being run at a profit. Because of this attitude of the worker 
a number of plants are selling food at the same price they 
did a few years ago, although it means a considerable financial 
loss; indeed, in some places, the loss is as high as $1,000 a 
week. This loss is charged off to the service department, if 
there is one, or to the general employees' service work. 

Farming Out Restaurant Privileges 

Some firms make arrangements with outside caterers to 
furnish food and manage the restaurant; but this practice 
should be discouraged. It has many attendant evils. In the 
first place if the restaurant is conducted on a profit-making 



284 LABOR MAINTENANCE 

basis, the price for food must be high or the quality of food 
must suffer. Further, the caterer does not have the personal 
interest in the employees which the company itself would have. 
The author knows of several plants which have had disastrous 
experiences with profit-making purveyors of food. In one 
case a serious strike was threatened by employees who, because 
of the location of the plant, had to depend for their noonday 
meal upon the employees' restaurant where the poor quality 
of food poisoned several and made many more ill. An em- 
ployees' restaurant should never be conducted for profit. This 
is fundamental to the success of the enterprise. 

A recent report of the Emergency Fleet Corporation on 
organization of restaurants has this to say of the evils of 
farming out restaurant privileges: 

There is almost always grave danger of profiteering at 
the expense of the workmen and indirectly at the expense 
of the employer also. There probably are a few exceptions 
to this rule, but experience here and abroad indicates that 
the company should almost invariably itself appoint and 
directly control the restaurant manager, if the best results 
are to be obtained at the lowest cost to the men. In any 
arrangement whereby the manager gets a definite percentage 
of profit over and above all expense, a temptation is offered 
to an unscrupulous manager to increase rather than decrease 
the outlays for food, service, etc. 

Method of Service — Cafeteria or Serving Counter 

The number of employees necessary for the preparation 
and dispensing of food in an industrial canteen, operated on 
the cafeteria plan, should not much exceed 30 for every 1,000 
persons served at one sitting. The proportion will, of course, 
vary with the size of the cafeteria, proportionately more em- 
ployees being necessary in the smaller canteens. If special 
waiter service is desirable or necessary for a considerable 
force of administration and clerical employees, superin- 



employees' lunchroom and restaurant 285 

tendents, foremen, etc., then the canteen staff will require to 
be correspondingly enlarged. In most cases the cafeteria or 
self-service plan should be adaptable to practically all the 
employees of the plant. A separate serving-counter and din- 
ing-room for the officials and clerical staff in the larger plants 
may prove of advantage. An extra charge should be made 
for meals where the method of service is more expensive, 
even though the food served is exactly the same in quantity 
and quality as that supplied to the men in the main dining- 
rooms and mess-halls. 



Essential Requirements of a Successful Restaurant 

The best experience recommends the desirability of 
workers eating their lunches under the most attractive condi- 
tions possible — away from the work-bench. The successful 
lunchroom is clean, will-lighted, well-ventilated, and equipped 
with furniture that can be kept in sanitary condition easily. 

Commenting on the essential requirements of a successful 
workers' restaurant, the report of The Emergency Fleet Cor- 
poration makes the following summary: 

Convenient location. The restaurant must be convenient 
to the workmen. 

Attractiveness. It must be attractive, light, airy, well- 
spaced, and with plain but neat, clean, and attractive equip- 
ment. 

Prompt service. Service must be prompt. Slow service 
is certain to make the work's restaurant a failure. 

Hours. The restaurant should be open at all hours when 
there are night shifts. Coffee, tea, cocoa, and milk should 
be Obtainable at any time. 

Food. The food served should be of first-class quality- 
fresh, properly prepared and cooked, appetizing, and of good 
variety. 

Prices. The price of the food to the workmen should 
be so low as merely to cover cost, or at most to provide 



286 LABOR MAINTENANCE 

only a small margin above cost. The price of any given 
meal or articles of food should be prominently displayed. 
This is essential for prompt and satisfactory service. 

Payment for food. The method of payment for meals 
should be simple, preferably by ticket or check with the 
meal and payment of cash to cashier on exit. Tickets 
purchased in advance save the workmen from carrying much 
change in work clothes. 

Management. First and last the success or failure of the 
works restaurant is dependent upon the manager. 

A further point to be emphasized here is the importance 
of having a committee of employees elected from the body 
of workers — including representatives of the office workers' 
force — to act as an advisory committee to the management 
on problems affecting the success of the restaurant. Sugges- 
tions for the improvement of the restaurant service, the nature 
of the menus offered, the care of restaurant property, the 
use of the restaurant for special occasions, and other related 
matters should come under the jurisdiction of this committee. 
Some concerns allow meals without charge to members of 
this committee in return for their service on the committee. 
Such a committee can do much in establishing and main- 
taining the right relations between workers and the restaurant. 
In one concern known to the author, where 3,000 are employed, 
the entire management of the restaurant, including its finances, 
is in the hands of the employees and has been for several 
years. The employees have hired an experienced manager for 
the work and he does all the buying, supervises the cooking, 
and attends to the other details of administration subject to 
the direct control of the employees through a special com- 
mittee which reports to the association of employees. 

Equipment 

Experience has indicated that the cafeteria method is the 
most convenient, economical, and efficient mode of operation. 



employees' lunchroom and restaurant 287 

It enables a firm to give quick service to large numbers at 
a low overhead cost. By far the greatest number of industrial 
concerns use this form of service. Suitable tables are provided 
throughout the room so that employees, after securing the 
food they desire, can eat in comfort. 

It has been found by corporations which have experimented 
with various types of lunchrooms for employees that even 
where a regular restaurant would fail to meet its expense, 
the cafeteria generally would come out ahead. And what is 
most important is that the cafeteria seems to be the most 
popular form of arrangement with employees. A single 
counter has an approximate capacity of from 200 to 300 
persons every 30 minutes, depending upon the skill of those 
who serve the food. Then again it enables a display of food 
so that as the worker passes along the counter he can choose 
what he wants with little delay. 

The kind of tables found most satisfactory are those with 
white glass tops, for they look and wear well and are easy 
to keep clean. Some concerns use tables with enameled metal 
tops but these are apt to become chipped and unsightly as 
well as unsanitary. As for seating arrangements, individual 
chairs are best. All counters should be raised about 6 inches 
above the floor to allow good ventilation and easy cleaning. 
The walls of the room should be painted with waterproof 
oil paint of a light color; this will allow frequent washing. 
The floor that has proved best is concrete or a composition. 

Modern equipment for the kitchen includes a refrigerator 
with several compartments for separate storage of meat, dairy 
products, and vegetables. Another valuable piece of equip- 
ment is an electrically driven ice-machine placed in the 
refrigerator, controlled by a thermostat which starts and stops 
the machine automatically. Electrically driven meat-choppers 
and grinders, dough-mixers, and dish-washers, are also parts 
of a well-equipped cafeteria or restaurant. These suggestions 



288 LABOR MAINTENANCE 

of course apply particularly to concerns where a fairly large 
number use the lunchroom. 

Gas-ranges, accessible from both sides, and from which 
rubber-tired trucks carry the food to the serving counters are 
recommended as indispensable. 

The British Ministry of Munitions, which studied the prob- 
lem of feeding large numbers in munition factories, makes 
the recommendation that the serving counter should be placed 
in front of the kitchen and in the center of the dining-room. 
They also suggest that the serving counters should be arranged 
transversely to the long side of the building in order to allow 
more space for the waiting lines of workers and to reduce 
the number of help necessary inside the serving counter. The 
service counters should be provided with plenty of steam- 
tables, with dish-warmers so grouped as to make for quick 
service. Trays and silver to be replenished through windows 
in the walls of the kitchen are another suggestion. 

Kind and Quality of Food 

This is a matter depending mainly upon the locality of 
the plant. Tastes in different parts of the country vary a 
great deal. It is therefore well to select a manager who has 
had some experience with the local markets and food prefer- 
ences of the locality. 

One large contracting organization makes it a point to 
have special cooks for the various nationalities represented 
in large numbers by the labor employed. For example, the 
Italians have their own cook and the kind of food they are 
accustomed to in a home. This has helped considerably in 
keeping up the good spirit of the men. 

Effective Menus 

A neglected point, however, is the provision of well- 
balanced meals that are energy-producing. Too little atten- 



employees' lunchroom and restaurant 289 



tion is generally given to the needs of the workers in the 
way of food, and too much to their desires. Of course, no 
worker wants to be told that his food habits are wrong, or 
that this or the other sort of food is unwholesome ; he is guided 
largely by his tastes. A wise restaurant management will 
make up its menus with reference to such tastes; but it will 



Article of Food 


Quantity 

Required 
to Yield 

One-tenth 

of Total 

Fuel Value 

Needed by 
Worker 
a Day 
Ounces 


Amount of 
Protein 

Contained 
in Each 
Quantity 
of Food 

Ounce 


Article of Food 


Quantity 

Required 

to Yield 

One-tenth 

of Total 

Fuel Value 

Needed by 

Worker 

a Day 

Ounces 


Amount of 
Protein 

Contained 
in Each 

Quantity 
of Food 
Ounce 




if 
2 
3 
3 
3 
3 
3 
3 
3 
3 


£ 
1 

1 

f 

a 

4 
1 


Barley flour 

Maize meal 

Bread 

Meat (free from 

bone) 

Syrup, jam, marma- 


3 
3 

4 

5 

5 
16* 

4t 

17 


1 




i 


Pork 


i 








| 






Split, peas or beans . . 




Milk 


£ 


Rice 


Eggs 

Potatoes (20% al- 
lowed for waste) . 


I 


Flour 






i 



* Fluid ounce. 

t Number of eggs. 



Figure 26. Table of Food Values 



Showing the quantity of food required to furnish one-tenth of the fuel value needed by a 
worker doing moderately heavy work, and the amount of protein contained in each quantity of 

food. 

at the same time offer energy-producing foods in attractive 
form and at attractive prices. 

In some plants the meals are planned scientifically, and 
the co-operation of the plant nurse is secured to get workers 
to order the food they need. For workers whose occupation 
is more or less sedentary, and who suffer from headaches 
owing to poor elimination, efforts have been made to get 
them to eat a good deal of fruit. In order to bring this 
about, the fruit was arranged very attractively on the counters. 
At the same time, small signs were arranged about the room 
dwelling on the wholesomeness of plenty of fruit in one's diet. 



2go LABOR MAINTENANCE 

The familiar slogan, "An apple a day keeps the doctor away/' 
has been really effective. 

Changing one's food habits is a matter of slow education; 
but it can be accomplished as experience in this country and 
abroad has shown. In the United States some study is being 
made to determine the combination of food best suited to the 
needs of the industrial worker. 2 In England, during the war,- 
special study was made of food standards for munition 
workers and others; and the following table, prepared by the 
Health of Munition Workers' Committee, is significant. A 
standard of 3,500 calories was taken as required daily by a 
male munition worker. The table (Figure 26) below shows 
the quantity of food required to furnish one-tenth of the fuel 
value required by a worker doing moderately heavy work 
and the amount of protein contained in each quantity of food. 
The daily diet should contain at least 4 ounces of protein. 



See "Food for the Worker," Frances Stern and Gertrude T. Spitz. 



CHAPTER XX 

THE PLANT NEWSPAPER OR MAGAZINE 

A Medium of Intercommunication 

The growth in size of industrial enterprises, the amount 
of business done, and the high specialization necessary to ad- 
minister it efficiently, have considerably weakened if not 
destroyed, the old personal relationship between the manage- 
ment and the workers. Labor stability depends largely upon 
how close to the men the management is. One does not have 
to seek far for examples of conditions resulting from neglect 
of this truth. 

The question is how to restore the personal relationship 
in industry as far as it is practicable to do so under present 
conditions. Present organizations in which large numbers 
are involved function largely through executives to whom the 
heads of the concern delegate authority and responsibility. 
Those executives in turn must of necessity delegate some of 
their power to subordinates. Intercommunication of a per- 
sonal sort is difficult and workers know little of what is going 
on in departments other than those in which they work, except 
through an occasional formal bulletin or notice, or through 
rumor. 

Following the plan of a concern with a progressive sales 
policy, which keeps its sales force informed as to each other's 
activities, policies, and plans, through a house organ issued 
at regular intervals, many employers have established plant 
newspapers or magazines as a desirable method of intercom- 
munication among employees. The war, which intensified the 
need of closer co-operation among workers, led to the estab- 

291 



29 2 LABOR MAINTENANCE 

lishment of many more plant journals. The results have been 
most valuable, both to the individual and to the plant as a 
whole. 

Means of Stimulating Production 

During the war the American Multigraph Company was 
under the pressure of producing time-fuses in quantity for 
the United States and its allies. One of its serious problems 
was that of bridging the gap between the workers and execu- 
tives — including the foremen — and creating a common interest 
that would stimulate production. To develop the "family 
spirit" a plant publication, the Center Punch, was launched 
"to quicken the spirit of competition into life, to feature and 
distinguish those who did good work, and to lead the employees 
in the proper direction but to do it unofficially. " The man- 
agement held that "official orders are all right up to a certain 
point, but past that point much better results can be secured 
by making the suggestions come from the employees them- 
selves." 

Everything in the magazine was planned from the in- 
spirational point of view. The editors assert that when the 
Roll of Honor or Production Record was published, for the 
first month the record of production was just average, but 
in the next month production exceeded the estimated increase 
by 10 per cent. "As there was no other force working along 
the lines of greatest production, the magazine was naturally 
credited with the result." We are informed that the magazine 
is regarded by the company as "the big factor in creating a 
shoulder-to-shoulder spirit and in making the company more 
than merely the name of an employer to those who are em- 
ployed." 

One of the devices used, by the way, was to assign subjects 
to various foremen with the request that they write out their 
ideas without worrying about style or language. It took a 



PLANT NEWSPAPER OR MAGAZINE 293 

little time before that plan got to working but finally success 
was attained. 

Giving Personality to the Concern 

The plant newspaper gives personality to the concern as 
a trade-mark does for the product it represents. There is 
hardly a better aid to the development and maintenance of 
an esprit de corps. Where properly established the employees' 
paper has more than paid for itself. It promotes enthusiasm 
and gives opportunity for self-expression without which all 
attempts at better industrial relations are bound to fail. It 
develops the interest of employees in one another, and in the 
company and the company's product. It generates construc- 
tive ideas. It makes employment more attractive. 

Elements of a Successful Paper 

The successful plant newspaper seeks to represent the 
interests of all workers in the plant, from the chief executive 
to the laborer. It contrives to reach every group and in- 
dividual on the basis of participation in the enterprise and 
through representation on the editorial staff. Just criticism 
has come from workers in certain plants which publish em- 
ployees' newspapers, that the contents of each issue are too 
much concerned with the affairs of the office workers and 
too little with the rank and file. The successful magazine 
is an expression "of the workers, for the workers, and by 
the workers." 

From the outset, it should be the basic policy of the paper 
to be newsy, never didactic, and always constructive. Items 
must be terse and full of "punch." Every line should breathe 
enthusiasm and action. Rarely should articles be allowed to 
exceed 500 words in length. Its language should be simple 
and direct. The strength of a writer lies in his use of simple 
English. 



294 LABOR MAINTENANCE 

The Paper's "Make-up" 

The "make-up" is highly important. If the paper is clut- 
tered up with a miscellaneous assortment of type, crowded 
with ill-arranged ideas, hard to read, little may be expected 
of it. The "make-up" must attract interest, and "sell" itself 
to every person who picks up the paper. The secret of that 
lies in the proper selection of type, and in an attractive arrange- 
ment which brings out the most important items. In their 
effort to make their paper attractive many plants give each 
issue of their magazine a special cover, usually with some 
appropriate design. One plant during the war employed a 
prominent artist to make the cover each month. But special 
covers are expensive and not absolutely necessary. The paper 
can be so printed that the front page gives the appearance 
of a cover, as is frequently done in the weekly magazines 
which appear on news-stands. Good examples of employees' 
magazines which use this device are the News-Compass, 1 
Speed-Up, the Larkin Company's Ourselves, and the Packard 
Employees' Paper. 

In attracting interest, photographs of individuals and 
events are of great assistance. In order to give "punch" to 
such photographs the policy should be to give preference to 
those showing workers in action rather than in a posed group ; 
but of course this will depend upon the purpose of each 
photograph. As half-tone "cuts" are somewhat expensive, 
it would be well for the business manager of the plant news- 
paper to decide on a standard size of cut, or if possible, upon 
two or three standard sizes, and arrange with the engraving 
company for a contract to cover a certain period and so secure 
a reduction in the cost for each cut. If this is done, the editors 
will have to determine upon the number of cuts to be used in 
each issue and to plan their "dummy" accordingly. 

Cartoons of workers and of employee activities give life 



Recently discontinued. 



PLANT NEWSPAPER OR MAGAZINE 295 

to a plant newspaper. Where draftsmen are employed it 
generally is not difficult to locate a worker who can sketch and 
possibly has a sense of humor. Some plants make it a practice 
to allow their artist to work on material for the plant news- 
paper on company time, setting aside for the purpose a maxi- 
mum number of hours per week or month. 

The News Element 

The real backbone of a successful plant paper consists 
of the personal items about workers, and the more of these 
there are, the closer will the paper get to the employees. Ex- 
cellent models in this respect are : the Commonwealther of the 
Commonwealth Steel Company; the Western Electric News; 
Telephone Topics of the New England Telephone Company; 
the Telephone Review of the New York Telephone Company ; 
the News-Compass of the Merchant Shipbuilding Corpora- 
tion; the Dry Dock Dial of the Morse Dry Dock and Repair 
Company ; the Chameleon of the Sherwin-Williams Company, 
the White Book of the White Motor Company, Cleveland, the 
R & M Co-operator of the Robbins and Myers Company, and 
the Lamp of the Standard Oil Company of New Jersey. 

Editors of employee magazines must, however, make sure 
that every "personal" is without a "sting" and does not offend. 
Often unnecessary bitterness results from "slams" which are 
tactless. In order to avoid this the editors of one paper 
head their page thus: "This column will print anything of 
clean personal news obtainable. Therefore: Contribute every- 
thing; do not offend anybody; write everything in good fun." 

Several papers make it their policy to give biographical 
sketches of prominent persons in the company. Others add 
special biographies of workers who have been with the concern 
for several years. That this is very effective is borne out 
by the experience of the Greenfield Tap and Die Corporation 
in devoting part of each issue of their paper to this purpose. 



296 LABOR MAINTENANCE 

At the head of the column in which the biography appears is 
the following statement by the president of the company: 
"These men are our Old Guard. They are the backbone of 
our industry." 

In making up the contents of each issue the problem is 
to secure the material that will interest every reader. Some- 
times good matter will be found in other magazines and other 
sources which may be reprinted, provided it is terse and appro- 
priate. But the editors should constantly bear in mind that 
the workers are primarily interested in their own affairs and 
not in generalities. Lazy editors use many "fillers" consisting 
of poems of limited interest and value, and other irrelevant 
items. Then they wonder why their paper is not reaching 
the worker and receiving his support. There are plenty of 
general magazines and journals and it is a mistake to try to 
compete with them or enter their field. 

An employees' paper without a sense of humor, like a 
man similarly limited, will find the road to success rather 
difficult. The essential quality of a good plant newspaper 
is that it is a good "mixer." A touch of humor should lighten 
its pages and the wise editor will make judicious use of good 
jokes or witty paragraphs in each number. Short, pithy sen- 
tences or adages which are not too familiar are useful, not 
only to fill in the odd corners and spaces but to lend variety 
to the reading matter. The best plan is to set up in type a 
sufficient number of these "fillers," which may also include 
bits of humor, and use them as a reservoir to draw from as 
occasion requires. This is a great time-saver. For quotations, 
a very good book for the editor is Douglas' "Forty Thousand 
Quotations, Prose and Poetical." Here again, however, the 
editor must use good judgment both as to quality and quantity. 
A quotation, for the purposes of an employees' paper, must 
be inspiring; it must stimulate thought and action. Hoary 
proverbs and didactic selections have no place. 



PLANT NEWSPAPER OR MAGAZINE 297 

Date of Issue — Distribution 

One of the important things for the editors to remember 
is that the paper must be issued promptly on the day set 
for its distribution. This day should rarely be changed. 
When employees know the date of issue they look forward 
to it. Friday or Saturday has been found satisfactory. More- 
over, the distribution should be carefully arranged so that 
every employee receives his copy promptly. . Some firms dis- 
tribute their papers through the foremen or department heads, 
others through the timekeepers at noon or at the end of the 
day. A good plan is to have the members of the reportorial 
staff distribute the copies in the shop which they represent; 
but no distribution should be made during working hours, 
except at the lunch period. 

Special Features 

In order to arouse special interest in each number it has 
been found desirable to place posters around the plant an- 
nouncing special features of each forthcoming issue. As the 
special features make each issue stand out, the author strongly 
believes in this method of reaching employees. It is a good 
plan to feature the various departments of the plant one by 
one in special issues, making sure, of course, that in those 
issues there is plenty of news about the other departments. 
This method was tried with great success with the Chester 
Compass (afterwards the Nczvs-Compass). 

The special "foremen's number" of this paper, to which 
foremen and leading men contributed, made a deep impression. 
It dealt with such topics as "The Relation of the Foreman 
to the Worker," 'The New Foremanship," "Keeping the 
Men on the Job," "The Influence of the Foremen in Speeding 
Production," "Constructive Foremanship," "Qualifications of 
a Foreman," "Unity Among Foremen," "Books for Foremen." 
Not only were the foremen interested in exchanging their 



298 LABOR MAINTENANCE 

views in this way for the first time, but the workers eagerly 
read the issue to learn the foreman's viewpoint. It gave the 
workers the opportunity to understand and appreciate the 
foremen's position more thoroughly; it cleared up many mis- 
conceptions which probably would never have been threshed 
out otherwise. Another point not to be overlooked was the 
effect this number had upon the management in enabling them 
to get the foremen's conception of their jobs. That number, 
finally, gave the foremen an interest in the success of the 
paper. They felt that it was as much a mouthpiece for them 
as for the rank and file, and they became great boosters for 
it. The effect on the spirit of the plant was noteworthy. 

Besides featuring the various departments, the plan has 
been tried successfully of giving certain numbers a special 
name: a "Christmas number," a "New Year's number," a 
"Labor Day number," a "Lincoln number," and so on, in 
each of which something appropriate to the day is dwelt upon 
editorially. Several concerns produce an "Anniversary num- 
ber" which reviews the work of the paper and of the concern 
for the year previous in statements from the executives. In 
some cases particular issues are dedicated to various individuals 
or events. 



A Few Successful Plant Papers 

Among firms which have had success with plant papers 
may be mentioned the Goodyear Tire and Rubber Company, 
which in 19 12 established a factory newspaper, called the 
Wing foot Clan. At first it was published semimonthly; later, 
once a week, now it appears three times a week. The 
paper is in part an official bulletin, in part it deals with 
the work of the plant, and in part is simply a newspaper to 
afford relaxation and amusement to its readers. As the official 
means of contact between management and men, in which all 



PLANT NEWSPAPER OR MAGAZINE 299 

company policies find expression, it has been instrumental in 
promoting good feeling and establishing an esprit de corps. 

The Kodak Park Bulletin, published monthly by the East- 
man Kodak Company, is a beautifully printed employees' 
magazine, which may well serve as a model for other papers. 
In this class are the Hydraulic Press ( Hydraulic Pressed Steel 
Company, Cleveland) and Moonbeams (Procter and Gamble 
Company, Cincinnati). 

Of a different type is the Fisk Bulletin, a weekly newspaper 
published by the Social and Athletic Association of the Fisk 
Rubber Company, Chicopee Falls, Massachusetts. In addition 
to its editor, there are department correspondents and a long 
list of reporters. A feature of this paper is the special matter 
printed in Russian, Polish, and Greek for the benefit of 
foreign-born workers of these nationalities. 

During the war the Edison Storage Battery Company, 
West Orange, New Jersey, distributed special one-page bul- 
letins to their employees every Monday and Thursday to help 
them appreciate the production problems of the company and 
to stimulate interest in their work. The illustrations for the 
bulletins were generally made from advertising plates used in 
the company's regular publicity work in trade papers and 
magazines, thus minimizing the expenses. 

A similar plan was adopted by the Hercules Powder Com- 
pany; but the bulletins were multigraphed to make them look 
more personal. 

The Editorial Staff and Its Work 

The editorial staff should properly represent every depart- 
ment and with the exception of the editor-in-chief, should be 
elected by the workers. Unfortunately this is not the general 
practice. Some papers are conducted by the advertising man- 
ager, some by the secretary of the corporation or some other 
company official. Usually the service department helps 



300 LABOR MAINTENANCE 

organize the paper and is responsible for its success. At the 
National Cash Register Company, the N. C. R. News is edited 
by five employees. The composition, presswork, and other 
details of publication, except the making of half-tone cuts, 
is done at the plant by employees. Each department has its 
correspondent who collects general articles and news items. 
Some papers, in addition to a staff of editors, have a repor- 
torial staff composed of employees appointed for each shop 
or department to hold office for three months or more. A 
good heading which suggests itself for a reportorial staff is, 
"Every worker in the plant." 

As a suggestion for a good editorial organization, the 
following is offered, though it will have to be modified to 
suit the particular conditions of an enterprise: 

Editor-in-chief: (superintendent service department). 
Three assistant editors representing office force, manage- 
ment, plant workers. 

Staff 
Business manager 
Advertising manager 
Staff artist 
Assistants 

Reportorial Staff 

One representative from each shop. 

One representative from each department other than the 
shops. 

The terms of office of editors would vary according to the 
circumstances of the particular case. Where possible the staff 
of editors should be changed from time to time (but not too 
often) in order to encourage others to serve and so have the 
interest and control of the paper wide-spread. 

The editor and the business manager should be members 



PLANT NEWSPAPER OR MAGAZINE 3 01 

of the service department, inasmuch as their work will require 
a considerable part of their time, and is so intimately connected 
with the other activities of the department. 

Functions of the Editor 

The functions of the editor-in-chief may be summarized as 
follows : 

1. General supervision of the organization and publica- 

tion of the papers. 

2. Editorial revision of material to oe published to make 

sure it conforms to the policies set by the editorial 
board and the general policies of the company, and 
is couched in language which will be easily under- 
stood by everyone. 

3. Planning the contents of each issue and arranging 

the material in the form best calculated to attract 
and hold the interest of readers, stimulate their 
enthusiasm, develop constructive self-expression 
among the working force, and bring all interests in 
the plant together on a common basis of co-opera- 
tion. 

The editor should be particularly careful about the head- 
ings of each article. The effectiveness of many good articles 
in plant papers is destroyed by poor headings. For example, 
an especially good article on safety will be labeled "Safety 
News" or "Safety Notes" when it should have a title which 
catches the interest of readers. It would be much more effec- 
tive to head the article "Play Safe," or "Why Bill Jones Lost 
His Foot," or "Careless Men! Don't Read this!" And so 
with articles on health — it is far better to say "Here's to Your 
Health !" or "The Doctor Says," than to dub an article "Health 
News." In writing head-lines, effort should be made to have 



302 LABOR MAINTENANCE 

them concise, and describing action. Such head-lines give 
"pep" to a paper. 

It is particularly important to observe this suggestion in 
the case of news from various departments. Instead of having 
headings, such as "Blacksmith Shop," "Joiner Shop," "Elec- 
trical Shop," and so on, interest will be aroused and the paper 
will be made more live by headings like "Sparks from the 
Anvil," "Joiner-shop Shavings," "Flashes from the Electrical 
Shop." A little thought on the part of the editor and his 
associates will suggest the right kind of caption. 

Editorial Conferences 

These matters and others vital to the success of the paper 
should be discussed at regular editorial conferences. No paper 
is making the best of its opportunities if it has no definite 
program and is more or less an affair of the moment. During 
these conferences the editors should, if possible, go over the 
material submitted for publication and should lay down the 
policies and plans of the paper for the six months, or if 
it is feasible, for the year following. Every issue for six 
months at least should be planned ahead. Each issue should 
have certain timely features, the material for which can be 
secured fairly long in advance. Current news, of course, 
cannot be secured in this way, but it will simplify the work 
of the editors considerably if they adopt a policy which plans 
to cover certain points within the year. 

A chart should be made with a column for each month. 
In each column the editors should jot down the special items 
to be arranged for. For instance, special articles on health 
are to be obtained for the issues of July, August, and December 
(assuming that the magazine is issued monthly). Since the 
greatest number of accidents happen in June, we will say, 
special articles on safety should be planned for the issues, of 
April, May, June, and July. The plan may be adopted of 



PLANT NEWSPAPER OR MAGAZINE 3°3 

devoting part of each issue to featuring a particular depart- 
ment and giving the issue a special name. These things will 
be noted in the appropriate column and certain individuals 
designated for preparation of the material, and so on. 

Functions of the Business Manager 

The job of the business manager is to attend to the details 
of printing, distribution, and financing the paper. He should 
follow the printer up to see that the paper comes out on time. 
This will be facilitated by arranging with the printer for all 
material for a particular issue to be in the latter's hands not 
later than a certain time before publication. This date should 
be made known to all readers, possibly through a note on 
the editorial page. Distribution should be carefully planned. 
A limited list of other plant papers for exchange should be 
part of the distribution scheme. The management will prob- 
ably want a certain number of copies of each issue to send out. 

Financing the Paper 

Finances are best administered by the preparation of a 
budget for the year with allotments of expense for each month. 
This can be arranged by conference between the editors and 
the general manager or other representatives of the manage- 
ment who have authority. 

Companies usually make a definite appropriation for the 
publication of a plant paper or set a limit to expenditures. 
The expense will depend upon the size of the magazine, the 
circulation, and upon how often it is usually issued. It is 
safer to begin the paper on a fairly conservative basis and 
expand as time goes on, to begin, for example, with a monthly 
issue of 8 pages and gradually build it up to 16 pages or 
more. Some concerns have a weekly paper of 4 or 8 pages; 
others produce theirs twice a month ; but the regular monthly 



304 LABOR MAINTENANCE 

issue seems to be the most popular. The Center Punch is 
made up in a size to fit the pocket conveniently. 

Usually no charge is made to employees for the paper, but 
a nominal price is sometimes charged to those outside the 
employ of the company. This, however, is hardly advisable, 
as the income from this source is too insignificant to make it 
worth the effort. 

The Question of Advertising 

Advertising in the columns of the employees' paper offers 
an excellent method of reducing the expenses of publication. 
Some papers have had unusual success in this respect. If its 
purpose is not to be defeated, however, careful censorship of 
the advertisements which go into the paper is necessary. It 
is the practice to exclude all advertising relating to patent 
medicines, quack physicians, investment schemes, commercial 
agencies, and in general, matters of a questionable nature. 

An energetic employee could well serve as advertising 
manager. He might be appointed by the editorial board when 
the paper is launched, to hold office for six months. After 
that his office should become elective on the part of employees. 

A good plan to get advertising matter is to offer a com- 
mission of 5 per cent to employees for each advertisement 
they solicit and obtain. Interest in securing advertisements 
may be stimulated through special contests. A first prize of 
five or ten dollars in addition to the regular percentage might 
be given to the one who brings in the largest amount of money 
for advertisements with a suitable second prize for the next 
highest results, and an honorable mention list for the others 
in the contest. 

The rates for space will depend on the cost of printing, 
the circulation, and the position in which the advertisement 
is to appear. It would be well to get the advice of the ad- 
vertising manager of the plant or some other executive com- 



PLANT NEWSPAPER OR MAGAZINE 3°5 

petent to pass judgment on the matter. Possible income from 
advertising should be gauged by the space allotted for that 
purpose. In no case should advertising be allowed to encroach 
too much on the space which ought to be devoted to reading 
matter. A fair allotment would be one-eighth of the number 
of pages. 

Readers should be urged to give advertisers their trade. 
This may be helped by a printed caption at the bottom of the 
advertising page, such as "Please mention this magazine when 
patronizing advertisers. It will help this paper grow for your 
benefit," or, "Boost The . . . (name of your paper). Buy 
from advertisers." 



CHAPTER XXI 

THE HOUSING PROBLEM— IMPORTANCE 

The Housing Problem 

Assuming that all the factors within the plant affecting 
labor turnover are being properly taken care of, there still 
remains the problem of housing the working force adequately; 
and it is a problem which goes to the root of efforts at labor 
maintenance. No labor force can be stable if it is not housed 
satisfactorily. The great increase in the population of indus- 
trial communities in recent years makes a solution of the 
problem still more urgent. Bad housing conditions are respon- 
sible for dissatisfaction with work, for unrest, and for a large 
portion of the turnover of labor. 

Consideration of the problem of housing means study of 
conditions within and outside the plant. Further, the term 
"housing" includes not merely homes for the workers, but 
schools, stores, churches, and other buildings that serve com- 
munity needs. The supply of labor is vitally affected by the 
conditions which go to make up the housing problem. Con- 
cerns which have trouble in securing an adequate supply of 
labor on account of poor housing facilities are not rare. 

Good Housing Versus High Labor Turnover 

Housing has a direct bearing on labor turnover. It is true 
that the two chief elements in labor maintenance are adequate 
wages and good working conditions; but the next factor is 
housing. Earnings and employment methods within an estab- 
lishment will always determine in the main whether a manu- 
facturer holds his employees. In a large sense workmen 

306 



THE HOUSING PROBLEM — IMPORTANCE 3°7 

choose their place of employment. The employer has in- 
sisted upon efficient workers. Now they are coming to insist 
upon an efficient employer. He, on his part, is coming to 
see that he has a responsibility outside of his place of business 
or manufacture — a responsibility that extends into the living 
conditions of his employees in the community. He has, indeed, 
a high duty toward the community itself. 

Nor need the employer be actuated by principles of 
philanthropy. We owe the beginnings of numerous kinds of 
labor improvements to philanthropy, but we are finding that 
the underlying principles after all, the principles that give a 
sane working basis, are economic. It is, first of all, to the 
employer's financial interest to have all the conditions in which 
the employee works and lives of the most advantageous kind. 
Thus the employee keeps in physical and mental trim and 
works most steadily and efficiently. 

Importance of Housing Taught by the War 

Housing may indeed become an all-important factor in 
labor turnover, as the late war taught both England and this 
country. During that period workers were brought together 
in large and small communities in such numbers that the 
housing problem became almost more difficult of solution than 
wages and working conditions. In the United States the War 
Department found it necessary to establish the United States 
Housing Corporation, and to enter upon an extensive program 
of building in communities in which corporations had contracts 
with the national government. The American Civic Associa- 
tion and the United States Chamber of Commerce made hous- 
ing studies, published information, and took up other activities 
in the interests of good housing. 

Industrial Housing in England During the War 

In England the housing of munitions workers was one of 



3° 8 LABOR MAINTENANCE 

the most urgent domestic problems which the English govern- 
ment had to solve in the course of the war. The enlargement 
of existing works and the opening up of new factories involved 
a great increase in the wage-earning population of many com- 
munities. The methods adopted by the English government 
to meet conditions were various. In some places temporary 
accommodations were provided, but in most places permanent 
buildings were erected, especially where there had been a scar- 
city of houses before the war and where it seemed likely that 
permanent manufacturing activity would continue after the 
war. Loans were made to public utility societies which were 
able to deal with the housing problem, or government loans 
were made to manufacturers. Such loans were issued at the 
current rate of interest and for a period of forty years. In 
other instances the government made a partial proportion of 
the cost of building to certain local authorities. All these 
methods merely put the government behind the project of 
housing, while the actual work was carried out by individuals 
and local organizations. 

The characteristic type of permanent building erected was 
a two-story brick cottage, containing a living-room, kitchen, 
bath, and two or three bedrooms. Such cottages were built 
in rows with sufficient space for light and air between. Alto- 
gether the chief types of dwelling constructed for English 
munition workers have been three — huts, hostels, and cot- 
tages. 

The term "hut" includes all buildings of a temporary or 
semitemporary nature. They were built usually of concrete 
slabs or were cheap wooden structures lined inside with beaver 
board. These temporary buildings were constructed both as 
single-family houses and large dormitories accommodating as 
many as one hundred single men or single women. 

The "hostels" were cottages, usually of a permanent char- 
acter, which could be easily converted into single-family cot- 



THE HOUSING PROBLEM — IMPORTANCE 3°9 

tages after the war. The cost of these was little more than 
that of huts and the value much greater after temporary use. 
The hostels were generally built in small groups, in rows, or 
around the three sides of a quadrangle. 

The cottages were fully completed houses, of various sizes 
to suit the needs of occupants. They were generally built 
in groups of four with a density of twelve to the acre. 

In addition to these three types of buildings, the English 
government erected shops, stores, schoolhouses, public build- 
ings, and other structures necessary for the public needs of 
a community. Streets and parks were laid out, and permanent 
communities were provided for. 

Industrial Housing in the United States in War Time 

When the United States finally entered the European War, 
it became necessary to produce ships, munitions, food supplies, 
and other war materials immediately and in great quantities. 
Contracts were entered into with shipyards, munition works, 
steelmills, textile-mills, shoe factories, and other manufactur- 
ing concerns. New industrial communities were necessarily 
established and the housing facilities of nearly all the old 
industrial communities proved inadequate. The United States 
Housing Corporation was established by the War Department 
to plan and carry out improvements in housing conditions 
wherever the government was interested in increased produc- 
tion in war materials, and to build, or co-operate in building, 
new houses wherever needed. The help of existing agencies 
interested in this line of activity was sought. Landscape 
architects and engineers of national reputation, men who were 
authorities upon town and city planning, public health experts, 
and others, were either employed by the Housing Corporation 
or were brought into consultation with it. 

The corporation had the advantage of the example of the 
English housing activities in connection with plants and com- 



3 IQ LABOR MAINTENANCE 

munities producing war supplies. The corporation imme- 
diately planned an extensive program of improvement and 
building in our American communities. It sought the interest 
and co-operation of employers, local committees, and in- 
dividuals in the industrial communities where housing im- 
provements were to be projected. In the Department of Labor 
at Washington there was also established a Bureau of Indus- 
trial Housing and Transportation. 

The building projects recognized as necessary by the 
production authorities of the army and navy and by the Hous- 
ing Corporation at the time of the signing of the armistice, 
November n, 1918, involved an estimated expenditure of 
$194,000,000. The allotments for building improvements 
already made, fully covered the $100,000,000 then available 
by government appropriations, while the total actual expendi- 
ture up to this time was $45,000,000. 

Results of Inadequate Housing 

In the reports of the United States Housing Corporation 
are interesting facts showing the relation of housing facilities 
to labor turnover in certain well-known industrial plants. The 
facts regarding the housing conditions near one of the largest 
ship-building concerns may be summarized as follows. 
These conditions may be surprising, but they are only such 
as existed in most other industrial communities in which the 
national government had contracts for ships, munitions, or 
other war materials. 

The labor turnover at this particular plant for January, 
February, March, and April, 19 18, was 118 per cent, or at 
the rate of 354 per cent a year. Within the week of February 
23, 158 workmen left the plant on account of poor housing, 
and 12 on account of poor transportation. 

The chief reason given for leaving, during the four months' 
period mentioned, was the difficulty of obtaining decent hous- 



THE HOUSING PROBLEM — IMPORTANCE 3 11 

ing facilities. The difficulty was particularly great for a man 
with a family. Unmarried men put up with almost any form 
of inconvenience in order to stay on the job and earn the 
high wages that were being paid to shipworkers; they slept 
from two to eight in a room, and in some cases used the same 
beds in relays. The custom of working in shifts of eight 
hours each was extended to sleeping in turn in the same 
quarters. 

When suitable houses were found for men with families, 
the high prices charged and rent profiteering often made it 
impossible for workmen to secure them; and sometimes the 
raising of rent after a family had entered a house compelled 
the wage-earner of the family to give up his job and move 
to another community, even when he must look for less 
profitable employment. The daily absences from work in the 
plant in the period above referred to were often as high as 
30 per cent, resulting mainly, as investigation showed, from 
difficulty in securing suitable rooms and tenements, and from 
exorbitant rent charges. 

Report of the Housing Corporation 

The reports of the corporation concerning other shipyards 
and munition plants are given in part in the following 
paragraphs taken from the staff conference report of May 8, 
19 1 8, on the general situation at Bridgeport, Connecticut: 

Because of the universal recognition of the fact that labor 
turnover must be kept within reasonable limits, if maximum 
production is to be obtained, and, since any housing shortage 
and the amount and kind of housing provided to fill that short- 
age is bound to have a large effect on labor turnover, we en- 
deavored to get a fairly definite view of the situation as 
regards turnover in the district. 

Labor turnover in industrial plants in Bridgeport is seri- 
ously high. The Remington Arms Company has had, during 



312 LABOR MAINTENANCE 

the past twelve months, a turnover of about 88 per cent, 
which is the lowest that we found in the district. Most of 
the manufacturing plants, particularly those engaged in war 
production, report labor turnover rates running from 200 to 
400 per cent per year at the present time, and one important 
company reported a turnover of 50 per cent a month, or at 
the rate of 600 per cent a year. 

Employers interviewed, without exception, consider that 
housing shortage is a very important, if not the principal, 
cause of high turnover. 

Employers stated that, if they could reduce their labor 
turnover to reasonable proportions, they could, with their 
present equipment, increase their production anywhere from 
10 to 20 per cent. 

The following is dated August 22, 19 18, and relates to 
Bethlehem, Pennsylvania : 

Congestion is terrible; many live 3 shifts in a house. 
Impossible to increase transportation; service taxed to ut- 
most; 800 sets of furniture stored in Allentown. Easton 
has its own large plants; but a good many men come from 
there. Men do not like temporary dwellings even as a matter 
of patriotism; find it impossible to keep in physical condition 
and live in barracks. Need trained machinists of settled 
habits. Men with families must have homes. 

Of Cleveland, Ohio, the report continues: 

Turnover high in outlying plants and plants where condi- 
tions are bad; but about 30 manufacturers do not ascribe 
this to lack of housing. A house survey by the Chamber 
of Commerce reveals: serious shortage among colored 
workers, pronounced among foreign, but not so for skilled 
labor. Rents high. Some house capacity for families who 
can pay $25 to $40. Little room capacity for laborer, but 
considerable for those with higher standard of living. Brass 
and Copper Company reports 60 per cent monthly turnover 
and only 60 per cent production with need of 400 more men 
for existing contracts. 



THE HOUSING PROBLEM — IMPORTANCE 3 J 3 

And of Hamilton, Ohio: 

Hamilton about one hour ride on railroad north of 
Cincinnati; one and one-half hours on interurban. There 
are no considerable settlements within 45 minutes' ride where 
workers could be housed. Gun carriages, engines for steam- 
ships, machine tools are product and the heavy machinery 
of the plants is valuable. Street railway said to be almost 
bankrupt. Increased fare to be passed by authorities. 
Service is poor. Unenviable record as seat of labor trouble. 
Families are found living in basements, attics, etc. Is ex- 
pected to work on basis of small net return. Contract was 
let for 50 houses; but there is doubt whether the building 
and loan associations can raise the two-thirds promised in 
addition to the $132,000 capital subscribed. 

Seventeen plants employing 6,900 men and 650 women 
u se 5,300 men and 300 women on war work. 1,400 men and 
400 women additional are needed by October 15. Turnover 
high; 20 per cent common. Production, 60 per cent to 100 
per cent of capacity. 

As housing accommodations diminished, labor turnover in- 
creased as is shown by the following statement on Indianapolis, 
Indiana : 

800 men, 1,200 women; 250 being highly skilled, all the 
remainder semiskilled. Has plant and equipment for 200 
more men and 800 more women added at rate of 400 per 
month. 95 per cent of plant on government orders. Has been 
unable to increase force but little owing to lack of housing; 
but can maintain present rate of work with it. Monthly 
labor turnover has increased since January from 6 to 14 
per cent. Wages are normal for district. It takes 50 
minutes to I hour and 10 minutes to get from plant to 
residential parts of- city, where there is capacity for more 
workers. Female workers object to this much more than 
men. No less essential plants from which workers can 
be drawn. Some housing capacity for families in Indianapolis 
and considerable room capacity, but most of it too far from 
plant. 



3 H LABOR MAINTENANCE 

Frederick Law Olmsted's Views 

In a recent number of the Monthly Labor Review, the 
landscape architect, Frederick Law Olmsted, who was man- 
ager of the Town Planning Division of the United States Hous- 
ing Corporation, has this to say concerning the reports made 
to the Housing Corporation by its investigators: 

The labor turnover rose to startling proportions. Ex- 
amples of excessive labor turnover were supplied by the 
war industries of practically every city in which the Housing 
Corporation investigated conditions in housing of labor. 
Though unsuitable or inadequate housing was not the sole 
cause of this excessive labor turnover, it is mentioned by 
employment managers of corporations in many instances as 
the chief cause and in others as a contributing cause. 

The constant training of new employees produced a great 
reduction in the average of efficiency. Despite unprecedented 
wages, with a corresponding rapidly increasing unit cost of 
production, a point was soon reached beyond which there 
could not occur any further effective increase of the labor 
force. No urge of patriotism or high wages could com- 
pensate for the overloaded accommodations for individual 
and family life. Inadequate access not only to sleeping places 
but to food, merchandise, recreation, and everything relating 
to family and social life outside of working hours, put a limit 
on production far below the maximum capacity of the in- 
creased plants. 

Since 1914, the rapidly increasing cost of house construc- 
tion and the diversion of capital into channels of more 
profitable return have resulted, even in the face of an increas- 
ing need for houses, in a steady decline in the number of 
houses actually built. The American Contractor gives the 
total investment in residential building in the eastern, central, 
and northern sections of this country (representing 69 per 
cent of the total population) as $432,337,000 for the year 
1916, and only $252,000,000 for 1918. 

It became clearly apparent in the summer of 1917 that 
this part of the failure to produce needed war supplies had 
become a matter of government concern. Only such methods 



THE HOUSING PROBLEM — IMPORTANCE 3 J 5 

of arbitrary stimulation as were already producing notable 
results in expanding manufacturing capacity could make that 
capacity effective by supplying the requisite housing facilities. 

In one set of cases the problem was so clearly unescapable 
that there was but little hesitation in meeting it. These were 
the cases of new industrial establishments created at the 
order of the government for the sole purpose of producing 
munitions. They included powder plants, loading plants, 
and the like, established for reasons of public safety in 
isolated locations where nothing before existed. Here, quite 
obviously, the entire facilities for housing employees and for 
providing some approximation of community life had to be 
created along with the plant itself. It is interesting to note 
that even with the temporary class of structures appropriate 
for these short-lived communities, and even with the use of 
a large proportion of dormitories, for single men and women 
willing to live apart from family life while temporarily 
engaged in war work, the investment in housing facilities 
rose to large proportions in comparison with the cost of the 
industrial plant itself. 

Much more usually, the war-stimulated industries formed 
a part of permanent communities. In these the pre-war 
housing shortage became unendurably aggravated. 

A tardy and incomplete recognition of the fundamental 
nature of the housing problem in its relation to successful 
war productions occurred on March I, 1918. On this date 
Congress authorized the expenditure of $50,000,000 by the 
United States Shipping Board for accelerating the produc- 
tion of housing facilities in connection with shipyards. This 
was a mere drop in the bucket compared with the investment 
in shipbuilding plants. Another step was taken when Con- 
gress authorized the President, on May 16, 1918, to apply 
$60,000,000 "for the purposes of providing housing, local 
transportation, and other general community utilities for such 
industrial workers as* are engaged in arsenals and navy yards 
of the United States and industries connected with and essen- 
tial to the national defense, and their families, only during 
the continuation of the existing war," and on June 4 provided 
the necessary appropriation. On July 8, 1918, this amount 
was increased to $100,000,000. 



3 X 6 LABOR MAINTENANCE 

By executive order, confirmed in the act of June 4, 1918, 
the Bureau of Industrial Housing and Transportation was 
created in the Department of Labor to serve these ends, and 
the funds were expended by it through the United States 
Housing Corporation, legally created July 9, 1918. 

Housing Development of United States Shipping Board 

The work of the Housing Corporation in a new community 
is well shown in a description recently made by the United 
States Shipping Board Emergency Fleet Corporation of the 
housing development at St. Helena, Maryland. The descrip- 
tion is as follows : 

Parcel "A" 

A tract of land of approximately 15^ acres, exclusive 
of streets and alleys, improved with 296 houses, each having 
four rooms and bathroom. All houses are two stories and 
attic high, built of stucco on metal lath on concrete founda- 
tions and with slate roofs. Some of the attractive features 
are electric lights, gas, maple floors and stairs, front piazzas, 
shades, screens, etc. 

These houses are arranged in 36 groups, with rows of 
four, six, eight and ten houses to a group. Seventy-two end 
houses are 16 feet, 11 inches wide, with lots averaging 26 
feet wide; 54 inside houses are 16 feet, 9 inches wide, and 
170 inside houses are 14 feet, 9 inches wide. Lots vary in 
depth from 90 to 150 feet. 

Three vacant plots are included in this tract, dimensions 
of which are respectively 120' x 131'; 120' x 90'; 55' x 125'. 

Streets are paved with concrete; sidewalks and house- 
walks are of concrete; an ample setback provides an attrac- 
tive front lawn; planting space has been allowed between 
curbs and sidewalks; large trees line several of the streets. 
Streets are well lighted with 100 c-p. incandescent lights 
placed at street intersections and intervening points. Com- 
plete sewers connected with disposal plant of the Dundalk 
Company are installed. Reservations have been made for 
10-foot service alleys in the rear. 



THE HOUSING PROBLEM IMPORTANCE 3*7 

Parcel "B" 

A plot of approximately 98,000 square feet upon which 
has been built a cafeteria and power-house. The cafeteria 
building is one story high, erected on concrete foundations 
and has a floor area of about 36,000 square feet. Some of 
the floors are of concrete. This building is fully connected 
with water and sewers. Fire lines throughout the building 
with frequent hose connections furnish ample fire protection. 
Electric wiring is all installed for lighting and gas lines 
connected. 

The power-house is built of brick and is equipped with 
two 90-horse-power high-pressure boilers with complete 
auxiliary fittings. 

The two above-described parcels are located on the Spar- 
row's Point Branch of the Pennsylvania Railroad, the 
westerly frontage of the property being within a few feet of 
the St. Helena Station. This property also fronts on the 
line of the Bay Shore Branch of the United Railway and 
Electric Company, which operates high-speed electric trains 
between Baltimore and the Bay Shore Terminal. Running 
time from the heart of Baltimore is about 30 minutes and 
from the Sparrow's Point Shipyard of the Bethlehem Ship- 
building Corporation about 10 minutes. A portion of Parcel 
"A" is within the limits of the city of Baltimore. 

The Importance of Housing in Peace Times 

In times of peace, even more than in war, the housing 
problem is important if industry is to continue without the 
loss of millions of dollars annually in silent labor leakage. 
Tens of thousands of laborers are compelled under normal, 
peace-time conditions, to live in quarters that sap their effi- 
ciency, or to move from house to house at a constant financial 
loss, or to go from community to community with consequent 
loss in wages, and frequently to change an occupation alto- 
gether. From the standpoint of housing alone, American 
industrial workers fall far short of 100 per cent in industrial 
efficiency. 



3i8 LABOR MAINTENANCE 

As the war has brought vividly to our attention, congestion 
in large cities and industrial communities means disease, 
lowered physical and mental vitality, immorality, and crime. 
This is no less true in peace times. As was said at the 
beginning of this chapter, the results, or the losses owing to 
poor housing, are both economic and social. They reduce the 
welfare and the happiness of the community. On the other 
hand, good housing, under hygienic conditions, and with a 
reduction of congestion, means efficient and contented labor 
force, labor stability, increased self-respect among workers, 
and pride in employment and community welfare. 

Good Housing and Health 

Both the industrial physician and the ordinary practitioner 
have been of the highest service in the gains already made 
in housing in this and other countries. They have come to 
realize that good housing is a basal condition not only in labor 
maintenance but in social welfare. Doctor Charles P. Caldwell 
of the Chicago Municipal Tuberculosis Sanitarium in an ad- 
dress at the Sixth Annual Conference, National Housing 
Association, Chicago, 191 7, put the matter very clearly. 

The housing problem, or more properly as the physician 
sees it, the home problem, because it includes not only the 
house itself, but the sanitary conditions within and without 
the house, is deserving of the most serious consideration. 

It is in the home for the most part, that the entire 
drama of life is played; it is the foundation and corner-stone 
of society and should be safeguarded. Koch, the discoverer 
of the tuberculosis bacillus, has said that tuberculosis can 
be called a dwelling disease. The improvement in housing 
conditions is a most hopeful sign and promises much in the 
way of proper drainage, more cubic space, more glass and 
sun areas in the house. The architect who plans and offers 
sunless houses for dwelling places is a foe to the community. 

He further says that improvement in sanitation and the 



THE HOUSING PROBLEM — IMPORTANCE 3 X 9 

provision of decent and sanitary dwellings will not solve the 
problem of good health and citizenship, for an ideal house 
may soon become unsanitary under slovenly management and 
poor housekeeping. 

The solution of the problem lies in a large measure with 
the people themselves. They must be taught step by step 
to desire improvement. They must be taught cleanliness, 
the value of fresh air and sunshine, the pioper selection and 
preparation of food, and also they must be taught their 
duties and responsibilities to the public. 

Every physician and social worker knows well that these 
are bitter days for the poor. Great accessions of wealth 
have come in this country in the past two or three years 
but its distribution has been more than usually unequal. 
Wages have risen it is true, but not in proportion to the 
increased cost of living. You cannot prove to the wage- 
earner that he is better off by telling him that wages have 
advanced. He knows this, but he also knows that prices 
have advanced far out of proportion to wages. 

What immediate adequate remedy can be evoked to make 
more tolerable the lot of man or woman wholly dependent 
on salary, is not yet plain. Many families have been obliged 
to move into smaller quarters and we know that poverty and 
congested districts increase sickness and death. 

Municipal public parks and playgrounds, infant welfare 
stations, public nurseries, children's preventoriums, open-air 
schools, the opening of stub-end streets, sanitary sewage- 
disposal, and better housing laws are needed. 

The medical profession is ready to turn to the task with 
all good-will and do what it can but the people cannot be 
kept well by drugs ; they need good food, fresh air, clean and 
well-ventilated rooms. 



Suggestions for Proper Housing 

At the end of our discussion it may help to a better under- 
standing of the problem, and what should be done about it, 
to present its elements (together with constructive sugges- 



3 2 ° LABOR MAINTENANCE 

tions) as expressed by John Nolen, who is probably the great- 
est expert on industrial housing in the United States. 

1. Good planning applied to industrial housing pays. 

2. New factories, for their own interest as well as that 
of all others concerned, should locate in the outskirts of cities 
whenever practicable. 

3. As opportunity offers, factories now existing in cities 
should be encouraged to move to the outskirts. 

4. Employers and employees should co-operate in a social 
and democratic way to create an attractive local community 
on the outskirts of cities near factories, both doing their part 
to make the community healthful, convenient, and satisfying. 

5. The same co-operation should be directed toward secur- 
ing also for employees and their families, by transportation 
facilities, some of the advantages and permanent attractions 
of city life. 

6. The choice for factory employees should not be sharply 
drawn between the city and the country. Both should be 
recognized as desirable — the city for occasional inspiration 
and diversion, and the more open country on the outskirts of 
cities for the essentials of daily family life. 

7. A good home for every wage-earner is possible only 
by recognizing that housing is closely related to a number of 
large and difficult problems. 

8. The first step towards a solution of the problem is to 
recognize that the subject is one for the right application of 
broad economic principles. 

9. Under proper organization, much of the necessary 
capital could be obtained from the wage-earners themselves 
through the organization of building and loan associations and 
co-operative banks. 

10. Finally, the better handling of low-cost housing offers 
one of the best opportunities to contribute to industrial effi- 
ciency and to the welfare of the wage-earner. 



CHAPTER XXII 

THE HOUSING PROBLEM— WHAT TO DO 

The Duty of Industry as to Housing 

It is not necessary to ask whether good housing pays. The 
conditions and accomplishments already presented should be 
sufficient evidence of the economic gain which is to be found 
in proper housing conditions in any industrial locality. In- 
vestigations made by experts in many places, the advanced 
steps taken by individual employers and capitalists, and by 
organizations, governmental and private, bear witness to the 
importance of the problem. Industry owes it to itself, to its 
workers, and to the community to concern itself with proper 
housing facilities. 

Large corporations long ago found the profitableness of 
good housing. Fifty years ago the Amoskeag Manufacturing 
Company, a textile corporation of Manchester, New Hamp- 
shire, erected scores of brick houses, in entire blocks along 
the streets adjacent to its plant. These houses have been 
maintained in good condition to the present day. Improve- 
ments have been made from time to time, as needed, and 
houses of a more modern type were built as required. Rents 
have been made low to employees. The result has been indus- 
trial peace and good-will toward the corporation in its great 
industrial community. Fifty years ago, then, a great corpora- 
tion built and rented homes to its employees. Fifty years later 
we find many corporations making loans to employees or 
otherwise enabling them to build homes for themselves 

A striking example is that of the American Woolen Com- 
pany at its factories at Lawrence, Massachusetts. The com- 

321 



3 22 LABOR MAINTENANCE 

pany has just announced a plan whereby it will furnish to 
its employees 90 per cent of the money required to buy land 
and build homes, at a 4^ per cent rate of interest. This plan 
has one serious defect, which leaves it open to criticism and 
perhaps may lead to failure, namely, the stipulation that should 
the employee leave the company, he will have to find a new 
mortgagee or the company "would be obliged to foreclose." 
Aside from this point, however, the plan is well devised. 

The homes will be of the single-family type, will each 
cover about 4,500 feet, be equipped with electricity, modern 
plumbing, and fittings. Monthly payments, after an initial 
payment of 5 per cent of the selling price, are to be equal 
to the rent for the type of house. A part of the monthly 
payment will cover interest charges, taxes, and insurance ; the 
remainder will go towards reducing the mortgage. A special 
corporation called the Homestead Association is to handle the 
project including the mortgages. 

Fairbanks Morse Company's Plan 

One of the most recent efforts in industrial housing is that 
of the Fairbanks Morse Company, at Beloit, Wisconsin. This 
company employs about 3,600 men in the manufacture of 
engines and steam-pumps. The development is called "Eclipse 
Park" and is a garden village made up entirely of single- 
family detached houses for mechanics earning $20 a week or 
more. Some of the houses are to be for clerks and foremen. 

Eclipse Park consists of about 53 acres within two miles 
from the heart of the city. Adjoining this tract are the athletic 
field and works of the company. Each house is set back at 
least 20 feet from the front line of the lot to allow for 
grass, shrubs, and trees. Each house has its own individuality, 
a factor often neglected in building new industrial cities. The 
distance between houses is 15 feet. The lots are of varied 
size with a minimum width of 40 feet and depth of 80 feet. 



THE HOUSING PROBLEM WHAT TO DO 3 2 3 

When the project is completed there will be 350 houses of 
various designs. 

Housing Betterment in Maine 

A sensible method of determining how best to meet the 
housing needs of their employees was used recently by two 
Maine textile-mills employing 3,000 men and women. They 
had a survey made to determine the size and type of house 
in which their workers live, what rents they pay, how many 
own their own homes, the size and type of house preferred 
by workers and their wives, what modern improvements they 
care enough for to pay for, what rents they can be reasonably 
expected to pay in view of their income, how many desire 
to buy houses, how much they can afford to pay, and the 
terms on which such homes can be sold. This survey, made 
by Miss Edith Elmer Wood, 1 brought out some interesting 
points. 

In addition to personal visits to homes of workers and 
interviews with them at the mills, Miss Wood used question- 
naires enclosed in the pay envelopes to obtain her information. 
She found an overwhelming demand for five and six-room 
houses, with bath, electric light, stationary tubs, and concrete 
cellar. Strong preference was shown for bungalows. More 
than a third of the families studied already owned their 
homes. 

The company controlling the two mills decided to build 
100 houses and purchased 24 acres to develop along garden 
suburb plans. The first 50 houses included 10 four-room 
bungalows, 16 semidetached five-room houses, 6 detached five- 
room houses, and 18' detached six-room houses. All contain 
bath, furnace, hot-water boiler, stationary tubs, electric light, 
and concrete cellar. 



1 See Housing Betterment (New York), December, 1919, pages 29-31. 



3^4 LABOR MAINTENANCE 

The Clark Equipment Company 

The way the Clark Equipment Company approached its 
housing problem is worth noting. This concern, located in 
Buchanan, Michigan, a town of about 4,000, manufactures 
axles and steel wheels for motor trucks, and high-speed drills 
and precision tools. The plant is located in a park, all the 
buildings being grouped around a center garden and cultivated 
lawns. The approach to the factory is through an avenue of 
poplars. On the grounds is a greenhouse where a gardener 
raises various plants for beautifying the park and the indi- 
vidual yards. 

A shortage of houses induced the company to plan the 
building of homes for employees to be sold to them at cost. 
The first step was a questionnaire to employees followed by 
a meeting in the company theater (which seats 1,000) where 
the plan was explained by means of talks, sketches, and lan- 
tern-slides. The company bought no acres of land, 40 of 
which they planted and laid out with wide streets, trees, grass- 
plots, sidewalks, water, gas, and electricity. 

In fixing the prices for houses, the company added 100 
per cent to the actual cost of the lot and 5 per cent on the 
cost of the house. 'This was done to prevent speculation and 
profiteering. Houses were sold to employees at prices from 
$1,900 to $4,500, and on easy terms which paid off both prin- 
cipal and interest within a certain number of years. Trie 
initial payments were from $180 to $400, and averaged about 
10 per cent of the selling price. When payments have been 
made for five years the purchaser has an equity sufficient 
to guarantee his good faith in going through with the deal. 
After that period, therefore, the company remits the 100 per 
cent on the lot and the 5 per cent on the house and applies 
it to the account of the purchaser. In this way the employee 
gets his home at actual cost. Forty-four houses have been 
erected and more will follow. 



THE HOUSING PROBLEM — WHAT TO DO 3 2 5 

The General Motors Corporation 

Among the largest housing developments in the country 
Js that of the General MotOx*s Corporation. It will have 1,000 
houses at Flint, Michigan, and 500 at Pontiac. These houses 
will not all be identical; they will be of various sizes and styles. 
The 4-room bungalows and houses will have two bedrooms, 
a living-room, kitchen, and bath; in the 5-room bungalows 
the additional room w T ill be a dining-room; and in the 6- and 
7-room houses the additional rooms will be bedrooms. The 
cellars of these houses will be cemented. 

Some of these houses will be frame; some with one-story 
stucco on tile and second story of shingles; some all stucco 
on tile; some with one story of brick veneer, second story all 
shingles and some with solid brick walls. There will be a 
further variation in the kind of shingles used. 

The community, and the houses of the community, will 
be modern in every way. The houses will be electrically 
lighted, and have every up-to-date domestic appurtenance as 
well ; the streets will be paved and planted with trees ; concrete 
paths (from concrete sidewalks) will lead up to the houses 
and around to the back door; and grass will be planted about 
the houses. 

Aiding Employees to Purchase 

The General Motors Corporation has appropriated a cer- 
tain sum of money to assist its employees in purchasing homes. 
The Modern Housing Corporation, under which name the 
company will operate, will charge purchasers the customary 
6 per cent interest for the indebtedness incurred in the 
transaction. 

When an employee buys one of the houses, which cost from 
$3,500 to $8,500, the General Motors Corporation will advance 
$800 to be used as part of the first payment on the purchase 
and no interest will be charged on this sum. This is not a 



3^6 LABOR MAINTENANCE 

gift. In return for this advance the company asks each buyer 
to agree that, in case he shall resign or be discharged from 
its employ within five years from the date of his contract 
of purchase, the company is to have the privilege within 30 
days thereafter of buying his house. He will be credited with 
all payments made, not including the $800 advanced by the 
company, for principal, interest, taxes, assessments, and in- 
surance, and will be charged with a sum equal to rent at the 
rate of 10 per cent per annum on the selling price mentioned 
in the contract, from the date of the contract, no deduction 
being made for depreciation. No interest will be allowed on 
either side of the statement, and the balance will be paid to 
whichever party is entitled to it. This means that the pur- 
chaser has paid nothing more than his rent during the 
occupancy. 

The company will also assist employees through the $800 
advance in buying houses for their occupancy, even if the 
house is not bought from the Modern Housing Corporation, 
but the houses must be worth from $3,500 to $8,500. The 
exact terms in such cases will depend on the merits of in- 
dividual cases. The above offers are made revocable at any 
time. 

If an employee wishes to furnish his own plans, or have 
plans specially drawn for him by the Housing Corporation 
and have an independent contractor do his building, the 
General Motors Corporation will assist him as above, but he 
must submit his plans and specifications for approval. In 
addition he must submit bids from at least two independent 
contractors, and these bids will be checked up by the engineer- 
ing department as to fairness of price. Upon approval of the 
plans, the General Motors Corporation will advance the $800, 
if with such aid the employee will be able to finance the acquisi- 
tion of the lot and the building of the house, and if the 
employee will secure the company against loss, should he leave 



THE HOUSING PROBLEM — WHAT TO DO 3 2 7 

or be discharged from service within five years from the date 
of the advance of the $800. 

In explaining the plan to employees the company makes 
the following statement: 

After careful study, the company believes itself justified 
in spending $800 in assisting each employee to invest his 
savings in a home of the value stated, near its plants, and 
in making it worth while for the employee to continue in 
its employ for five years. If he does not wish to continue 
in its employ he need not do so ; he is perfectly free to leave 
at any moment. But it would be manifestly unfair to the 
company that he should do this and take away with him or 
reap the benefit of the $800 advanced by the company to 
enable him, because he is an employee, to acquire a home at 
a pre-war price. Of course the company has no thought of 
reaping a profit from any rise in value of the home. If the 
employee wishes to sell in order to realize a profit he is at 
perfect liberty to do so, on repaying the company the $800 
advanced to him, plus the balance due on the contract. 

Method of Payment on Dwellings 

A minimum cash payment of 5 per cent of the selling price 
is required in addition to the $800 advanced by the company. 
Each purchaser must devote 25 per cent of his earnings each 
year to the payment of principal, interest, taxes, and fire 
insurance on his dwelling until it is fully paid for. After 
the estimated cost of taxes and fire insurance is deducted, 
the balance of 25 per cent is divided into 12 equal parts which 
represent the 12 instalments falling due each year. These 
monthly instalments will pay the interest on the total indebted- 
ness incurred by the contract of purchase as well as a portion 
of the principal of. the debt, so that if the purchaser fulfils 
his agreement, he will be paying each month a slightly smaller 
part of the instalment as interest, and a slightly greater pay- 
ment on account of the principal. In this way both interest 
and principal are reduced. 



3 28 LABOR MAINTENANCE 

When employees paying money into the Employees' Sav- 
ings Fund buy homes on contracts requiring monthly pay- 
ments, it may happen that their earnings will not be large 
enough to allow them both to pay money into the savings 
fund and to make the necessary payments for their houses. 
Such employees may arrange with the General Motors Cor- 
poration that their monthly payments into the savings fund 
be invested in their contracts for the purchase of dwellings 
without in any way forfeiting any rights under the savings 
and investment plan. 

Purchasers can pay off the indebtedness on their houses 
faster than at the agreed rate if they so desire. When the 
full amount is paid up the employee will receive a warranty 
deed and abstract guaranty or certificate of title, but to receive 
the deed within the five-year period mentioned above, the 
purchaser will be expected to repay the $800 advanced by the 
company. 

The time required to pay off the indebtedness on the pur- 
chase of a home will vary with the individual and the com- 
pany has prepared figures to show each purchaser just how 
long it will take. Very often the dwelling will be fully paid 
for at the end of ten years. Some may have saved enough 
in the savings and investment fund to complete the payments 
on the dwelling; but if not, they may obtain a mortgage on 
the house for the unpaid balance. In any event, the employee 
will receive a warranty deed for his home and an abstract or 
certificate of title. 

A Unique Development 

Another interesting development in housing, is that of the 
Talbot Mills at South Billerica, Massachusetts. The company 
seeks to keep up community pride in the attractiveness of the 
village by means of prize competitions. An example is the 
"Village Improvement Competition" conducted two years ago 



THE HOUSING PROBLEM WHAT TO DO 3 2 9 

at which five classes of prizes were offered. The competition 
was open to all persons, men, women, and children, living in 
the company's houses and no restriction was made as to the 
number of competitions a person might enter into. Prizes 
were distributed as follows: 

Class I. Best-kept premises, front and rear. Points 
considered were : Condition of lawn, paths, and back yards, 
including freedom from weeds, and general neatness of 
grounds and exterior of house. Wherever there was a strip 
of sidewalk turf it was considered part of the lawn. Five 
prizes: $10, $5, $4, $3, $2. 

Class 2. Vines. On houses, porches, arbors, trellises, or 
other parts in front of premises. Five prizes: $5, $4, 
$3, $2, $1. 

Class 3. Window- and Porch-Boxes. Five prizes: $5, 
$4, $3, $2, $1. 

Class 4. Flower Gardens. Design or arrangement were 
considered, as well as variety and quantity of flowers. Five 
prizes: $5, $4, $3, $2, $1. 

Class 5. Vegetable Gardens. This competition was open 
only to children under 16 years of age, but suggestions and 
assistance from parents were allowed. Points considered 
were: quality, quantity, and variety of vegetables and neat- 
ness of garden. The garden was not to exceed 600 square 
feet in area. Five prizes: $5, $4, $3, $2, $1. 

In addition to the money awards offered, the winner of 
the first and second prizes in each class were allowed a choice 
from a list of books and magazines on gardening in its various 
branches. 

The company gave participants the free use of lawn- 
mowers. Tenants were required to follow these rules: 

1. No nails or SGrews to be used on exterior of houses. 
The company will supply and put up, without charge, 
trellises for vines and boxes for windows and 
porches on application made to the repair-shop be- 
fore May 1. 



33° LABOR MAINTENANCE 

2. Vegetable gardens must be planted back of a line con- 
necting the rears of the houses. 

The Goodyear Tire and Rubber Company 

A few other examples may be cited to show the extent 
and variety of the movement for better housing for workers. 

"Goodyear Heights" consists of 400 acres laid out by 
the Goodyear Tire and Rubber Company at Akron, Ohio, ac- 
cording to Garden City principles. Lots and single houses 
are sold to employees at cost on the instalment plan. The 
purchaser carries a special diminishing life insurance policy 
so that in case of death the insurance will pay for the property. 
The houses have cost between $1,800 and $4,000. 

The Firestone Tire and Rubber Company 

"Firestone Park" is a housing development of the Fire- 
stone Tire and Rubber Company, also in Akron, in which 
the company has put about $1,500,000. The land constituting 
this development allows for the construction of about 900 
homes for workers. Provision is made for a public school, 
churches, and a public park. The lots or houses are purchased 
by workers by a payment of 5 per cent with their order and 
monthly payments of 1 per cent out of which the interest on 
the investment, insurance and taxes are paid by the company. 
Houses are built, if the workers desire, by a real estate com- 
pany formed by the Firestone Company as a subsidiary cor- 
poration, and are sold at prices up to $3,000. Allowance of 
6 per cent is made on the house if the purchaser wants to 
bear the cost of insurance. 

The Gary Plan 

Gary, Indiana, is a town developed by the United States 
Steel Corporation. The Gary Land Company, a subsidiary 



THE HOUSING PROBLEM — WHAT TO DO 33 l 

of the Steel Corporation conducts the housing development 
which extends over an area of something more than 27 square 
miles and consists of about 1,000 houses. Rents range from 
$12 a month up. 

Indian Hill 

"Indian Hill" at Worcester, Massachusetts, is a notable 
achievement of the Norton Grinding Company. Its houses 
are of real beauty and the whole colony presents a decided 
contrast from the usual industrial town. The employee who 
wishes to purchase, makes an initial payment of 10 per cent 
of the purchase price. The balance is covered by two notes, 
one for $1,000 payable in 12 years at 5 per cent, the other, 
for the balance, is a demand note with interest at 5 per cent. 
A purchase-money mortgage secures both notes. Payment 
of the $1,000 is insured by the agreement of the purchaser 
to buy 5 shares in a co-operative bank and to continue pay- 
ments on those shares until his deposits mature in the sum 
of $1,000 — which occurs in about 12 years. It is agreed by 
the company that it will not make demand on the demand 
note so long as the purchaser continues to make his monthly 
payments of interest to the company, and the monthly pay- 
ments to the co-operative bank. It is also agreed by the 
company that in case of the death or incapacity of the pur- 
chaser or within 12 years (provided he is not over 60 years 
old at that time) it will accept the surrender value of the 
co-operative bank shares as complete payment of the time 
note. 

Other Noteworthy Efforts 

Among other noteworthy efforts at housing workers 
properly are the famous model town of Leclaire, Illinois, built 
by the N. O. Nelson Company, and the town of Hopedale, 
Massachusetts, laid out by the Draper Company. 



33 2 LABOR MAINTENANCE 

Further Instances 

In England notable housing developments are Letchworth 
Village, Bourneville, Port Sunlight, and Hampsted Garden 
Suburbs. 

The Bradley Knitting Company, Delavan, Wisconsin, is 
spending $80,000 in building a hotel to accommodate 100 
girls. Saks and Company in New York City are also building 
a hotel for women employees. 2 

Housing the Unmarried Worker 

Housing the single worker presents an angle of the ques- 
tion which needs careful study. One cannot generalize about 
this. It is a practical question upon which the light of ex- 
perience must be thrown. A notable effort in this direction 
is that of the General Motors Corporation which is erecting 
in Flint, Michigan, a "hotel club" for men. About $2,500,000 
are being spent by the corporation to erect a 7-story fireproof 
dormitory with facilities for recreation sufficient to accom- 
modate 2,759 persons. The main building is to be 280 feet 
long and 214 feet deep. The upper floors will provide sleep- 
ing-rooms for 1,168 men and each room is to have its own 
lavatory with hot and cold water, and a closet for clothes. 

Each floor is to have 4 general toilet-rooms equipped with 
shower baths. Two light courts above the first story, each 
86 by 142 feet wide, allow light and air for ah bedrooms. 

Public recreation rooms and other rooms for workers 
and their families will take up the main floor and basement. 



2 Other examples of industrial housing are the following: American Chain 
Company, Bridgeport, Conn.; Remington Arms Company, Bridgeport, Conn.; Colorado 
Fuel and Iron Company, in their various mining towns; American Viscose Company, 
Marcus Hook, Pa.; American Rolling Mill Company, Middleton, Ohio; Peacedale 
Manufacturing Company, Peacedale, Pa.; Maryland Steel Company, Sparrow's Point, 
Md.; Youngstown Sheet and Tube Company, Youngstown, Ohio; Merchant Ship- 
building Corporation, Harriman, Pa.; The Wayne Coal Company, Steubenville, Ohio; 
Clintonville Development Company, Clintonville, Wis.; Atlantic Mills Company, 
Providence, R. I.; Root and Vandervoort, East Moline, 111.; New Jersey Zinc 
Company, Palmerton, Pa.; Plymouth Corrlape Companv, Plymouth. Mass.: Talbot 
Mills, North Billerica, Mass.; Ludlow Associates, Ludlow, Mass.; Newport News 
Shipbuilding and Dry Dock Company, Newport News, Va. ; New York Shipbuilding 
Company, Camden, N. J.; Merchant Shipbuilding Corporation, Harriman, Pa. 



THE HOUSING PROBLEM — WHAT TO DO 333 

A library with a capacity of 6,000 volumes, a billiard and 
game room, a gymnasium and smaller exercise room, in- 
structor's office, examination room, dressing-room and bath- 
room are provided for in this section of the building. 

Among other features are to be classrooms for 180, an 
auditorium seating 1,279, bowling-alleys, cafeteria, restaurant, 
Turkish bath, a drugstore, a tailor-shop, a shoeshop, and a 
men's furnishing store. The proposed swimming-pool, 25 
by 75 feet, with a spectators' gallery for 184 persons, will be 
the largest swimming-pool in the state. 

The Real Estate Bureau and Room Registry 

Where a plant is in a large city it often is found ad- 
vantageous to maintain a real estate bureau or office, or a 
room registry for the convenience of new and old employees. 
Such a bureau, which is generally under the supervision of 
the service department, works in very close connection with 
the employment department. Its function is to investigate the 
housing possibilities of the community and to direct workers 
to the best available living quarters. Lists of facilities are 
kept on file and are posted on bulletin-boards. Frequent check- 
up (daily if the number of applicants is large) is necessary 
to make sure that the places listed are still available. In a 
project of this sort it will not be difficult to enlist the co- 
operation of the community. Bureaus such as described have 
been very successful at the yards of the Bethlehem Shipbuild- 
ing Corporation and other shipbuilding concerns, at the Miller 
Lock Company, Philadelphia ; the Remington Arms Company, 
Bridgeport; and other plants. 

At the Erie works of the General Electric Company, em- 
ployees who plan to move are asked to notify the service 
department. This gives opportunity to place Erie workers in 
suitable quarters before the general public becomes aware of 
the vacancy. 



334 LABOR MAINTENANCE 

Separate Housing Corporation — The Best Method 

Objections have been raised against control of housing 
projects directly by an industrial corporation on the ground 
that such activity takes up the time of a large number of 
persons, involves the expenditure or the tying up, by invest- 
ment, of capital which may be needed in manufacturing and 
gives the company an undue influence over its employees. 

Experience has made it clear that the best method of 
handling industrial housing is through specially organized 
corporations which assume the burden of finance and service. 
Usually these corporations take the form of joint-stock cor- 
porations and in their management are distinctly separated 
from the concern which fosters them. 3 

How to Go About It 

By far the best suggestions for procedure in securing the 
best possible housing in the shortest time practicable and at 
a minimum cost are outlined in a statement by John Nolen 
prepared originally for the Chamber of Commerce of the 
United States. So excellent are Mr. Nolen's program and the 
questionnaire for employers that both are here reprinted in 
full: 

Program 

I. Formation of local house-building company. Similar, for example, 
to the Kenosha House Building Company, of Kenosha, Wis- 



* Among concerns which have adopted this method are the following. The names 
given in parentheses are the names of separate corporations referred to above. 
Goodyear Tire and Rubber Company, Akron, Ohio. (Goodyear Heights Realty 
Company); Firestone Tire and Rubber Company, Akron, Ohio. (Coventry Land 
Company) ; Brighton Mills, Alwood^ N. J. (Alwood Mutual Homes Company) ; 
Fairbanks, Morse and Company, Beloit, Wis. (Eclipse Home Makers, Incorporated) ; 
Bristol Brass Company, Bristol, Conn. (King Terrace Land Company); Midvale 
Steel and Iron Company, Coatesville, Pa.; Connecticut Mills Company, Danielson, 
Conn. (Danielson Construction Company); American Sheet and Tin Plate Company, 
Donora, Pa.; Minnesota Steel and Iron Company, Duluth, Minn.; Dennison Manu- 
facturing Company, Framingham, Mass. (Framingham Associates, Incorporated) ; 
United States Steel Corporation, Gary, Ind. (Gary Land Company) ; New Jersey 
Zinc Company, Palmerton, Pa. (Palmerton Land Company) ; Youngstown Sheet 
and Tube Company, Youngstown, Ohio. (Buckeye Land Company) ; Pennsylvania 
Rubber Company, Jeannette, Pa. (Parco Realty Company) ; American Sheet Steel 
Company, Vandergrift, Pa. 



THE HOUSING PROBLEM WHAT TO DO 335 

consin, and the Bridgeport Housing Company, Bridgeport, Con- 
necticut. 

2. Get facts on the demand: 

(a) Extent of demand: 

Names of places. 

Estimated number of houses needed in each place. 
(See questionnaire, page 337.) 

(b) Character of demand: 

Houses for rent. 
Houses for sale. 
Land for sale. 

3. Methods of meeting demand: 

(a) Temporary housing: 

New and old. 

(b) Adoption of factory methods : 

Standardization. 

Economic construction in concrete, brick, wood, etc.; 

the mill-cut house. 
Wholesale operations. 

(c) Operations should not be confined to any one house or 

method. All should be employed. Whatever types 
have advantages of economy of land cost or of land 
construction should be included. Group houses, using 
permanent materials, are especially recommended for 
rent. The use of different types takes into account 
the fact that different people have different tastes. 

(d) Early purchase of land. Land developments, including 

restrictions and districting. Consideration of legal 
powers. 

(e) Related towns and city planning: 

Transportation. 

Recreation — public and semipublic. 
Schools and other local public buildings. 
Zone and building regulations. 

4. How to finance the small house: 

(a) Sound schemes for houses for rent as permanent invest- 

ment. 

(b) Sound schemes for houses for sale. Easy terms. 



33& LABOR MAINTENANCE 

(c) Sound scheme for the sale of lots. 

(d) Prevention of excessive speculation. 

5. Financial obstacles: 

(a) Low rate of interest (usually 5 or 6 per cent net as 

maximum). 

(b) Large capital required (about $1,000 per family). 

(c) Investment is permanent, as money cannot be easily or 

quickly withdrawn. 

(d) Uncertainty of future (as to investment itself, and annual 

return; effect of hard times upon real estate). 

(e) Opinion that housing by employer may interfere with individual 

rights of employees (paternalism). 

6. What does experience teach? 

(a) Consider lessons of low-cost housing schemes. See list in 
"A Good Home for Every Wage-Earner," published by 
the American Civic Association. Note especially recent 
experiences in: 



Akron 


Hopedale 


Salem 


Billerica 


Kenosha 


Toronto 


Bound Brook 


Kistler 


Washington 


Bridgeport 


Lawrence 


Waterbury 


Cincinnati 


Nanticoke 


Wilmington 


Duluth 


New Haven 


Worcester 


Flint 


Philadelphia 


Youngstown 



(b) Consideration of financial housing methods hitherto em- 

ployed. 

(c) Consideration of ordinary commercial housing methods, 

as in Philadelphia, for example. 

7. Legal aspects. 

Among special points requiring consideration are: Revision of 
building code; power to acquire land for housing; eminent 
domain; "excess condemnation"; districting; lighting the den- 
sity of houses; linking housing with city planning; main 
thoroughfares; transportation; local streets; parks and play- 
grounds; schools and other public buildings; distributing the 
cost of public improvements. 



THE HOUSING PROBLEM — WHAT TO DO 337 

Summary 
Main Points to Keep in Mind 

1. Need to form local house-building committee at once. 

2. Local survey of existing conditions. 

3. Employ all available methods of meeting demand. 

4. Recognize importance of capital and secure fund equal to $500, 

multiplied by number of houses desired. 

5. A frank recognition of the financial obstacles will be first step 

toward overcoming them. 

6. American housing experience is not altogether encouraging ; never- 

theless, it is a mistake to ignore it. 

7. Legal aspects should be given early consideration; action need 

not wait upon new laws. 

Questionnaire for the Employer 

1. How many of your employees are in need of housing now or will 

require housing in the immediate future? 

2. If you expect to increase the number of your employees, what 

will that number probably be, and what percentage will have 
to be provided with housing accommodations? 

3. How many of the number of employees stated above in questions 

1 and 2 are to be provided with housing for the period of the 
war only? Do you think these employees should be housed 
in temporary structures? 

4. State what proportion of the employees referred to in questions 

1 and 2 are men and women. 

5. State what proportion are skilled and unskilled. 

6. What is the average weekly pay of different classes of labor 

included in the above estimate ? Give range and average. 

7. State the proportion of different nationalities represented. 

8. What is the usual proportion of married men in your plant? 

9. Do you recommend that houses for employees be built for sale 

on long-term payments, or held by company and rented, or both ? 

10. Do you favor providing houses in partly built-up sections, or 

outside such sections, where land is cheaper and more houses 
could be provided quickly under better conditions and at a 
lower price? 



33^ LABOR MAINTENANCE 

n. Have you any suggestion to offer as to parcels of land available 
for the housing of working men? If so, please send full 
information with map or diagram showing location, if possible. 

12. What types or type of the following houses, in your opinion, are 
most desirable and most likely to meet the demand in your 
city? 

(a) The single-family house, the double house, the two-family 

house, or the multiple dwelling? 

(b) The detached house, the semidetached house, or the houses 

built in terrace rows? 

(c) Houses of wood, terra cotta, poured concrete, concrete 

blocks, stucco, or bricks? 



CHAPTER XXIII 

FINANCIAL AIDS— MUTUAL BENEFIT 
ASSOCIATIONS 

The Elimination of Uncertainty as to the Future 

An adequate wage is the greatest incentive to good work 
and satisfaction in doing it. The wages a man gets con- 
stitute the basis of his industrial outlook as well as his out- 
look on life. He must have sufficient return, in the form of 
wages or salary, to support himself and those dependent on 
him in a self-respecting fashion. 

An adequate wage, moreover, implies more than a means 
of living from day to day. It implies provision for the future. 
It is not enough for the worker to pay his way and rear his 
family. He must lay by something for that period when 
he will have ceased working and other members of his family 
may not be able to take up the burden which he lays down. 
The pay of the worker, in every kind of activity, should be 
ample to provide for both the present and the future. Not 
till then does the workman become ioo per cent efficient, 
fearing no rainy day and concentrating all his energies upon 
the task in hand. 

Methods of Providing for the Future 

But merely receiving "good wages" day by day or month 
by month, will not enable the worker to prepare for the future. 
He needs to be shown how to save, and how to invest his 
savings. His desire to save needs to be stimulated and rein- 
forced by active co-operation and aid on the part of his 
employer. There are ways in which such aid may be given 

339 



340 LABOR MAINTENANCE 

which are economically sound and which have proved them- 
selves decidedly good business. 

The methods developed in recent years of increasing provi- 
sion for the future of the worker fall under three main 
headings: 

1. Mutual benefit associations 

2. Group insurance 

3. Profit-sharing 

The Nature and Growth of Mutual Associations 

The service of the mutual benefit association is in the 
nature of limited insurance for the workman against accident, 
sickness, old age, death, or other adversity. It is the simplest 
and least expensive means taken to compensate for the failure 
or inability of the workman to save through years of active 
labor. It is a development of the last 35 years, and has been 
adopted by national and local trade unions, by groups of 
working men, by industrial establishments, and by employers 
and employees operating jointly. According to the secretary 
of the Flint (Michigan) Vehicle Factories Mutual Benefit 
Association there are nearly 700 benefit and relief associations 
in the United States. The purpose always has been to provide 
benefit for wage-earners and persons on small salaries. The 
funds established and the organizations maintaining them have 
borne various names, such as fund, association, society, or 
department. 

The lines of demarcation among the four kinds of 
organizations just mentioned are not always clear. For ex- 
ample, a labor union fund may expand into an independent 
benefit society. Again, benefit societies may be classed as 
national or international, and local. We are concerned in 
the present volume particularly with the plan and function 
of the local, industrial, mutual benefit association. 



MUTUAL BENEFIT ASSOCIATIONS 341 

Chief Forms of Benefits 

The two most usual forms of benefit have been provision 
against loss of wages occasioned by disability and provision 
of funeral expenses in the case of death. The temporary 
disability benefits are generally intended to cover only par- 
tially the loss of earnings occasioned by an illness of ordinary 
length — of at least one week — or by an accident. They are 
never intended to pay an amount exceeding the wages lost. 

Some of the associations pay death benefits only, some 
only temporary disability benefits. The far greater number 
of organizations, however, pay both kinds, and many societies 
provide additional benefits. A small percentage of the associa- 
tions provide old-age insurance. Chief of these are the rail- 
road pension funds, which provide for the superannuation 
of railroad employees. 

How the Employer Can Help 

In origin, the mutual benefit associations were distinctly 
the creation of the workers themselves. Workers are every- 
where agreed that such an association is a "mighty good 
thing." This appreciation, increasing year by year, has en- 
abled the employer, and others who desire to aid the workers 
in their efforts, to develop and extend this form of provision 
against future want. Many employers have shown themselves 
ready to aid the movement. It is safe to say, indeed, that 
the best mutual benefit associations now in existence are those 
managed by a joint administration of employer and worker. 

The employer, though he may have first suggested the 
matter, may remain in the background. Yet he may give 
such suggestion and approval as to insure wise and conserva- 
tive management in the association when once established. 
He may be available for advice in any time of need. The 
best condition of all is found when the spirit of the employer 
or of the establishment permeates the body of workers in such 



342 LABOR MAINTENANCE 

a way that whatever is done shall be done loyally and for the 
greatest good of the whole number of people concerned. Such 
phrases as the "Dodge idea" and "the Filene system" convey 
a world of meaning. Great business and industrial establish- 
ments the country over are coming as never before to appre- 
ciate the value of esprit de corps and the individuality of a 
concern. 

The Basis of a Successful Organization 

Like any other important movement among industrial 
workers, the mutual benefit association must be properly 
launched. The first step must consist of spreading the in- 
formation among workers. This can be done by word of 
mouth from superintendents, foremen, and influential persons 
among the employees, and by means of printed material ex- 
plaining the nature and workings of the benefit association. 
Employees must be made to understand its value and feasi- 
bility and its desirability in their establishment. This is the 
real beginning. No actual organization should be undertaken 
until the great majority of persons concerned, or to be later 
enrolled, have come to understand clearly the nature of the 
problem and express their willingness or desire to enter into 
it. It must be a democratic movement, democratic in its origin 
and in its control. 

Procedure in Organizing 

The mutual benefit association should be organized like 
any other society or club of democratic origin and with 
democratic ends in view. When the ground has been thor- 
oughly worked over, so that a group of industrial workers 
is ready to organize, a mass meeting should be called. The 
promoters of the organization should present definite plans at 
this meeting and call for a full and free discussion of them. 
Conditions should be prepared so thoroughly that action may 



MUTUAL BENEFIT ASSOCIATIONS 343 

be taken without undue delay. A number of preliminary 
meetings, in which misunderstandings and even jealousies may 
arise, may check or even overthrow the movement at the 
beginning. There will be the usual officers and committees 
in such an organization, and they should be elected by the 
votes of fellow-employees. 

There must be a strict adherence by the members of an 
organization to its rules of conduct and by-laws. To accom- 
plish this it is scarcely necessary to say that the regulations 
of an organization should be comparatively simple, easily 
understood by the average person, and easily obeyed. 

Sound Financial Policy 

Before establishing a reserve fund, a careful estimate of 
the liabilities to be undertaken should be made. The best 
financial minds of the organization, or of the firm back of it, 
should be enlisted at this point. Then a reserve fund adequate 
to meet all the responsibilities to be assumed in the immediate 
future must be established. The best business methods must 
be adopted in administering the fund. It must be in the 
hands of persons who possess proved financial experience and 
also the entire confidence of employer and fellow-employees. 
From the beginning no shadow of doubt should exist concern- 
ing the ability, right purpose, and probity of those who handle 
the funds of the mutual benefit association. 

Types of Organizations 

The special kinds of organizations in this field of indus- 
trial benefit or insurance depend largely upon the nature of 
the establishment or field of industry concerned, and upon 
the particular nature of the benefits provided. In all cases 
a definite constitution, with suitable by-laws, is necessary; 
and it must be made to fit the case in hand. 



344 LABOR MAINTENANCE 

The Pennsylvania Railroad Plan 

One of the oldest plans for mutual benefit is that of the 
Pennsylvania Railroad relief department, which dates from 
1886. Employees contribute to the relief fund and are en- 
titled to certain fixed sums when disabled on account of sick- 
ness or accident, and to the payment of death benefits to their 
dependents. The chief reasons for establishing this depart- 
ment, according to E. B. Hunt, one of the officials of the 
company, were: 

1. Accidents under methods of operating railroads at the 
time were more frequent than at present. The laws regard- 
ing accidental injuries being inadequate, the company adopted 
the policy of furnishing surgical treatment, and in deserving 
cases paid wages during at least part of the period of 
disablement, and funeral expenses in case of death. The 
relief department was organized to enable employees to care 
more fully for themselves under these conditions. The com- 
pany paid all of the expenses and deficits of the de- 
partment. 

2. Often when an employee was disabled by illness, his 
family became destitute and appeals for financial assistance 
were made to officials and fellow-employees, and even to the 
public. The object of the relief department was to encourage 
employees to provide for themselves. 

3. As continuity of service is always desirable, and is 
conducive to efficiency, it was thought that if employees 
could be induced to become members of the relief fund 
they would, after contributing to the fund for a period of 
years, be less likely to sever their connection with the com- 
pany for trivial causes. 

Classes of Membership 

There are five classes of membership. The rates of 
monthly payment which admit to the various classes, the rates 
of contribution, and the benefits are given in the following 
table (Figure 2j). 



MUTUAL BENEFIT ASSOCIATIONS 



345 



Item 



Monthly pay . 



Contribution per month 

Additional death benefit, equal to death 
benefit of class: 

Taken at not over 45 years of age . . . 
Taken at over 45 years and not over 

60 years of age 

Taken at over 60 years of age 

Disablement benefits per day, including 
Sundays and holidays: 
Accident 

First 52 weeks 

After 52 weeks 

Sickness: 
After first three days, and not long- 
er than 52 weeks 

After 52 weeks 

Death benefits: 

For class 

Additional that may be taken 



First 
Class 



Any rate 
S.75 



• So 

■ 25 



• 40 
. 20 



250.00 
250.00 



Second 
Class 



S3 5 or 
more 
5i.50 



.90 
1 . 20 



1 .00 
■ 50 



500.00 
500.00 



Third 
Class 



$55 or 
more 
$2. 25 



60 



75o.oo 
7SO.OO 



Fourth 
Class 



75 or 
nore 
$3- 00 



1.80 
2.40 



2 .00 
1 .00 



1 .60 

.80 



1,000. 00 
1,000.00 



Fifth 
Class 



$95 or 
more 
S3- 75 



1.50 



2.25 
3- 00 



2.50 
1.25 



2.00 
1 .00 



1,250.00 
1,250.00 



Figure 27. Table of Industrial Benefits and Insurance Premiums 

Showing the rates of monthly payment which admit to the various classes, the rates of 
contribution, and the benefits. 

The Relief Department 

The relief department is under the charge of a superin- 
tendent who reports to the general manager. There is also 
an advisory committee of 8 appointed by the board of directors 
of the companies associated in the operation of the depart- 
ment; 8 elected by ballot for the membership of the fund, 
and the general manager who serves as a member ex-officio, 
and as chairman. The general supervision of the department 
is in the hands of this committee and it has power to propose 
and adopt amendments to the regulations, subject to the ap- 
proval of the boards of directors. 



The Bridgeport Brass Company 

The Sick Benefit Association of the Bridgeport Brass 
Company was organized 20 years ago. The officers of the 
association at each plant of the company — the governing 
board — are the plant committee, constituted of representatives 
elected by employees and representatives designated by the 



34 6 LABOR MAINTENANCE 

management. When the plant committee is too large, the 
affairs of the sick benefit association are handled by a sub- 
committee equally representing employees and management. 
This joint standing committee chooses from its members the 
executive officers — consisting of a president, a vice-president, 
and all committees necessary for the transaction of business 
connected with the association not otherwise provided for. 
The company provides a secretary-treasurer who is a member 
of the governing board. 

The president of the governing board at each plant of 
the company is president of the association for that plant. 
He has the power to convene the governing board, or call 
a special meeting of the association when in his judgment the 
interests of the association demand it. He is required to call 
a special meeting upon request of 5 members of the governing 
board or the written request of 21 members of the association. 

The Plan in Operation 

Meetings of the governing board of each plant must be 
held monthly at a date decided upon by the plant governing 
board. This board may remove any officer except the secretary- 
treasurer, and it may appoint new members to fill any vacancies 
occurring in the board. The secretary-treasurer is subject 
only to the control of the company; but if it is decided by 
a majority vote of the governing board that the secretary- 
treasurer is not working in harmony with the board, it is the 
duty of the president to bring this matter to the attention of 
the company for adjustment. 

Any employee 16 years of age and over may become a 
member of the association but he will not be accepted after 
6 months from date of his employment without passing a 
satisfactory medical examination, the expense to be borne by 
the insurance company. Part-time workers are not eligible 
for membership. 



MUTUAL BENEFIT ASSOCIATIONS 



347 



Membership in the association ceases when employment 
terminates. 

The dues are 25 cents a month and are deducted from 
wages. As the company assumes all obligations beyond the 
monthly dues of each member, there are no assessments. 

Benefits 

The benefits begin when an association member is in- 
capacitated by sickness or accident, outside his usual occupa- 
tion. Benefit payments consist of payments equal to one-half 
the average weekly wage. This average weekly wage is 
computed upon the first 8 weeks preceding the report of ill- 
ness, provided that in no week any amount smaller than $10, 
nor more than $28, is to be considered as a basis for de- 
termining benefits. Payments commence on the eighth day 
of disability and continue up to a period of 26 weeks for 
any one disability. The following example shows how the 
amount of benefits is determined : 



Week Ending 



January 4 

" 1 1 

18 

25 

February 1 

8 

• " 15 

" 22 



Pay-Roil Record 



$ 23 
32 
3i 
22 

25 
8 

5 

5 



$15506 



Basis of Daily 

Insurance 

Benefit 



$ 23.45 
28.00 
28.00 
22.50 

25-75 
10.00 
10.00 
10.00 



$157-70 



To find the average for the 8 weeks: 

8 )8157.70 

19.71 Weekly basis of benefits 



34§ LABOR MAINTENANCE 

To find the weekly benefits: 
2)$i9-7i 



9.05 Weekly benefits 
Dividing by number of days in week gives: 

7 ) $9- 8 5 

1. 41 Daily benefits 

If a member is injured in the course of his employment, 
his benefits are only those provided by the state compensation 
laws. If he dies his beneficiary will be entitled to indemnity 
under the life insurance plan of the company, which applies 
to all members of the association. Members are not entitled 
to benefits for sickness caused by childbirth, or arising from 
it, nor for sickness caused by venereal diseases. 

When a member has his residence, or is temporarily visit- 
ing, out of the bounds prescribed for the visits of the visiting 
committee, and is sick or disabled and wishes his benefits, he 
must immediately notify the association by a certificate signed 
by his attending physician, what is the nature and duration 
of his illness, the date when his illness began, his condition 
on the date of the certificate, and that by reason of this illness 
he is unable to attend to any labor from which he may derive 
pecuniary benefit. This certificate must be attested by a notary 
public or justice of the peace, certifying that the physician is 
a regular practitioner holding a diploma from a regular 
medical college. 

The Visiting Committee 

The visiting committee, the chairman of which is a member 
of the governing board appointed by the president, consists 
of from 15 to 25 male and female members of the association 
selected from the various departments of the plant by the 
chairman. It is the duty of the members of this committee 



MUTUAL BENEFIT ASSOCIATIONS 349 

on receiving notice from the chairman of the illness of a 
member, to visit that member as soon as possible and report 
his condition to the chairman. The chairman in turn reports 
in writing to the secretary-treasurer that the visit was made 
on a certain date, giving the report of the visitor. 

A graduate nurse or physician employed by the company 
receives daily notice of all cases of sickness from the secretary- 
treasurer; investigates each case promptly and reports to the 
secretary-treasurer upon the nature of the illness, its probable 
duration, and other matters which in his or her judgment 
would be valuable in the history of the case. The secretary- 
treasurer also reports cases of illness daily to the chairman 
of the visiting committee for his action. No member is 
entitled to benefits until his application has been signed by 
the nurse or physician, and the chairman of the sick visiting 
committee. This committee does not visit cases of contagious 
disease until it receives notice from the secretary-treasurer 
that all danger from contagion or infection is past. 

The president of the association appoints a membership 
committee of three members of the governing board who are 
responsible for building up and maintaining a ioo per cent 
membership in the association. 

The White Motor Company 

The Employees' Sick Benefit Society of the White Motor 
Company, Cleveland, is another successful organization. Mem- 
bership is open to any employee who has been in the service 
of the company one month, and who pays the initiation fee 
of $i. Dues are 50 cents per month. Benefits of $10 a week 
are paid during the first 21 weeks of illness (omitting the 
first 7 days) and $7 a week for the next 20 weeks. There is 
a death benefit of $250. More than half the number of 
employees are members of the association. The company con- 
tributes one-fifth of the amounts paid in by the members 



350 LABOR MAINTENANCE 

and provides the necessary administrative and clerical as- 
sistance. 

A feature of the society is the co-operative store conducted 
by the employees. This store handles food, tobacco, special 
articles of clothing, tools, and laundry work. Seventy per 
cent of the profits of the store go to the benefit society; 
the profits remaining are used for recreational activities of 
employees. In 191 7 the store did a business of over $50,000 
and came out with a net profit of $5,338.90. The administra- 
tive costs of conducting the business were less than 5 per cent 
of the sales. The company provides the rent, heat, and light, 
without charge. 

An Excellent Plan 

An excellent plan for employees' insurance covering 
service pensions, compensations for accidents, and health, is 
that established by F. C. Huyck and Sons, Albany, New York, 
who manufacture woolens. The employees of the company, 
about 400 in number, come generally from families of railway 
engineers, firemen, and trainmen. 

The health insurance aspect of this plan provides for 
contributions by employees of 1 per cent of their wages, the 
rest of the amount necessary being contributed by the com- 
pany. The benefits consist of 50 per cent of wages paid 
after the third day for the period of disability arising out 
of illness or accident outside of work in the plant. Provision 
is made for free medical, surgical, and hospital treatment, and 
medicines. Daily clinics free to all members are held at the 
plant by a regularly employed physician. In case of death, 
30 per cent of wages is given to the widow for life or until 
remarriage; 15 per cent for one child, and 20 per cent for 
two or more children until they reach the age of 16. The sum 
of $100 is given to defray funeral expenses. 

Two committees administer the plan, one committee for 



MUTUAL BENEFIT ASSOCIATIONS 35 * 

men and one for women, consisting of a representative chosen 
by the employees and another selected by the company. The 
third member of each committee is the secretary of the 
concern. 

The cost of the plan in 19 16 after 5 years' operation, was 
$14,282.46, or 1.6 per cent of the pay-roll. Disability and 
death benefits practically covered the 1 per cent wage-con- 
tribution of employees. Speaking of the success of the plan 
Edmund N. Huyck says in the American Labor Legislative 
Review, March, 191 7: 

There is not the slightest question in our minds but that, 
except that it does not provide for those who leave the 
company's employ, the plan has been in every way successful, 
that it has given us steadier, healthier, more contented em- 
ployees ; that it has made us more alive to the need of health- 
ful, sanitary working conditions ; and that it has been worth 
to our company far more than it has cost us. 

The American Chain Company 

An unusual plan of financial and other aid to workers is 
that recently adopted by the American Chain Company. The 
plan operates through an employees' society and aims to 
provide old-age benefits, assistance in case of illness, death, 
total or permanent disability of a member, and to furnish 
medical care during maternity or illness in the employee's 
family. 

The employees' society is governed by a board of man- 
agers, consisting of a chairman, vice-chairman, secretary- 
treasurer, and four other members. All are elected by mem- 
bers of the employees', society except the secretary-treasurer 
and two other members, who are nominated by the officers 
of the company. Each elected member holds office for a year 
and may be re-elected. Membership in the society is open 
to every employee in the company's office or working plant. 



3S 2 LABOR MAINTENANCE 

There is an initiation fee of $i and dues of 50 cents per 
month. The company meets deficits not covered by such fees 
and dues. 

In case of sickness or temporary disability, members will 
receive $2 a day beginning with the fourth day, for a period 
depending upon the length of service of the employee. In the 
event of death $100 will be paid to the beneficiary of the 
employee irrespective of the period of service of the deceased. 
The company also makes certain insurance compensation to 
the wife and dependents, the amount being in accordance with 
a scale set for various periods of service. For example, if a 
married man, who has been employed one year or less, dies, 
his widow will receive $1,000; each of his children under 16 
or at any age, if entirely dependent, will receive $2,000; so 
will each dependent brother or sister; and $500 will go to a 
dependent father or mother. 

If a man was employed for three years, the insurance will 
be $1,300 in addition to the amounts for dependents. The 
amount of insurance increases up to ten years of service. 

Special provision is made for male employees who reach 
the age of 65 and for women who reach the age of 55, if 
they have been with the company for 20 years or more. These 
employees enter what is called a reserve' force and receive 
a yearly allowance of 1 y 2 per cent of the highest wages earned 
during any consecutive 10-year period for the total number of 
years they have been with the company. 

Another feature of the plan is the provision for an annual 
vacation with pay for all members of the society. A bureau 
assists employees in finding suitable vacation places. 

In the case of expectant mothers the company will provide 
medical and nursing care for two weeks prior to the birth 
of the child and as long thereafter as necessary. All the 
necessary expenses of the doctor and nurse will be paid by the 
company, and in additon, a cash payment of $25 will be made 



MUTUAL BENEFIT ASSOCIATIONS 353 

to the mother for use in buying clothes and other necessities 
for the child. 

Free legal advice for the employees and their families is 
also part of the plan. 

The General Electric Company 

Another plan well worth mentioning is that of the General 
Electric Company, Pittsfield, Massachusetts, where the associa- 
tion in 19 1 6 had 3,000 members and a surplus of $5,000. 
The by-laws of the association limit the surplus to $300 in 
any one section, and to $1,000 in the death benefit fund. 
Collections stop when the funds reach this point. In case of 
sickness, $6 a week is paid for 14 weeks and upon death, 
$200 is paid, half of which is given by the company. 

An Unusual Type of Plan 

A type of association which is unusual is that conducted 
by the Flint Vehicle Factories Mutual Benefit Association. 
Several factories are members in this association, which makes 
its payments in addition to workmen's compensations provided 
by law. The city of Flint has a working population of over 
15,000. The plan requires no medical examination of mem- 
bers. Dues are deducted from wages by the constituent com- 
panies for no more than 18 weeks in a given year. When this 
limit is reached the case goes to the Manufacturers' Associa- 
tion which co-operates with the association. 

The Pennsylvania Agricultural Works 

The male white employees of the Pennsylvania Agricul- 
tural Works may join the Farquhar Beneficial Association 
(organized in 1889) by paying dues of 14 cents per week. 
Members are entitled to $4 per week for the first 26 weeks 
and half that thereafter. Upon a member's death, $150 is 



354 LABOR MAINTENANCE 

paid within 60 days to his widow or his heirs. A man may 
continue his membership even if he leaves the company. 

The Dodge Mutual Relief Association 

One of the best conceived plans for a mutual relief associa- 
tion is that of the Dodge Manufacturing Company, Misha- 
waka, Indiana, prepared by W. L. Chandler who has given 
the plans throughout the country much study. The plan of 
the company is so good that it is reprinted in full in Appendix 
F for the suggestions it offers readers. The Constitution and 
By-laws of the Benefit Association of Cheney Brothers, South 
Manchester, Connecticut, as well as the forms used, and the 
regulations as to reunions are given in Appendix F. 1 

Co-operative Associations — Employees 

Akin to the mutual benefit associations are the co-operative 
associations, of which there are many varieties. These are 
often the outgrowth merely of informal buying clubs, formed 
to enable members to take advantage of quantity prices. They 
may enlarge their operations and develop co-operative savings 
funds, which eventually merge into the mutual benefit associa- 
tion already noticed. 

Aid from Employers 

These co-operative associations are chiefly the work of 
the employees themselves, but in some cases the principle has 



1 Among other successful plans, the following may be noted: Hercules Powder 
Company, Wilmington, Del.; Farr and Bailey Company, Camden, N. J.; Cleveland 
Hardware Company, Cleveland, Ohio; Keuffel and Esser Company, Hoboken, N. J.; 
Fitchburg and Leominster Railway Company, Fitchburg, Mass. ; Scranton Railway 
Company, Scranton, Pa.; Clifton Silk Mills, Union, N. J.; United Shoe Machinery 
Company, Beverly, Mass.; Procter and Gamble Company, Cincinnati, Ohio; Celluloid 
Company, Newark, N. J.; Eastman Kodak Company, Rochester, N. Y. ; Pierce-Arrow 
Motor Car Company, Buffalo, N. Y. ; Lehigh Valley Transit Company, Allentown, 
Pa.; Remington Typewriter Company, Ilion, N. Y. ; Simonds Manufacturing Company, 
Fitchburg, Mass.; Stevens and Company, Incorporated, Providence, R. I.; Endicott 
and Johnson Company, Endicott, N. Y. ; Bethlehem Shipbuilding Company, Bethlehem, 
Pa.; Dodge Manufacturing Company, Mishawaka, Ind.; Solvay-Process Company, 
Syracuse, N. Y. ; Union Electric Light and Power Company. St. Louis, Mo.; Balti- 
more and Ohio Railroad Company, Baltimore, Md.; Pittsburgh Coal Company, 
Pittsburgh, Pa. ; Swift and Company, Chicago, 111. ; Cincinnati Milling Machine 
Company, Cincinnati, Ohio; United States Steel Corporation. 



MUTUAL BENEFIT ASSOCIATIONS 355 

been utilized by employers who desire to help their workers 
to help themselves. 

A co-operative bank is one of the features of the Plimpton 
Press, Norwood, Massachusetts. There are over 400 de- 
positors. Collections are made in each department weekly 
as soon as the paymaster has been around, thus making it easy 
for employees to lay aside sums from 10 cents up. Many save 
money for their insurance, rent, and other bills in this way. 
"In a good many cases, ,, says Mrs. Williams, who is in charge 
of the work, "we have been able to make arrangements, where 
workers have fallen into the hands of loan sharks, by means 
of weekly deposits in the bank to pay off these debts and 
thus teach the worker something of thrift in savings for 
future debts." The bank here makes loans on proper security 
but does not encourage short-time loans. 

Savings Funds 

In order to encourage the spirit of thrift among its em- 
ployees the Westinghouse Electric and Manufacturing Com- 
pany has established a savings fund, which offers facilities 
to the employees for the handling of their savings accounts. 
This fund is open to any employee of the company wherever 
he may be located, and he may become a depositor at any 
time and discontinue at any time. The amount of the deposit 
cannot be less than 10 cents and may be any multiple thereof, 
but the depositor is limited to one account, the amount of 
which in any one year cannot exceed $500. The plan is 
intended to encourage the employee to form the habit of 
saving his earnings. When he has developed the habit he 
should handle his own finances. 

Interest is paid on deposits at the rate of ^y 2 per cent 
and is credited semiannually. The Westinghouse Company 
acts as a trustee and guarantees the deposits and interest. 
The rules provide that an amount of $100 or less may be 



356 LABOR MAINTENANCE 

withdrawn without notice, but an interval of two weeks must 
elapse before subsequent withdrawals can be made; and for 
the withdrawal of sums amounting to over $100, notice of 
one week must be given. 

An auditing committee not to exceed 7 persons, elected 
by the depositors from among their own number, is given 
an opportunity to examine the condition of accounts at the 
semiannual interest period. The findings of this committee 
are published. 

Selling Stock to Employees 

There is one striking instance of co-operative activity 
carried to the point of actual ownership of an industrial enter- 
prise by the workers themselves. The Co-operative Boot and 
Shoe Company of Brockton, Massachusetts, was established 
a few years ago by a large number of experienced shoe- 
workers, out of several factories, who decided to pool their 
savings and their experience to build up a new factory on 
a co-operative basis. This company has had a very successful 
experience from the beginning. Similar examples, at least in 
the United States, are very few. 

On the other hand, ownership of stock in an enterprise 
by employees is often found. In many industrial concerns 
employees are encouraged to buy shares of stock. The United 
States Steel Corporation has had a remarkably successful' ex- 
perience with selling stock to employees. On a smaller scale, 
the experience of the San Diego Consolidated Gas and Electric 
Company in California, has been similarly successful. 2 



2 Among the more prominent concerns which sell stock to employees are: Procter 
and Gamble, Cincinnati, Ohio; American Sugar Kenning Company; Midvale Steel 
and Ordnance Company; Swift and Company; American Multigraph Company; United 
States Rubber Company; Goodyear Tire and Rubber Company; International Har- 
vester Company; B. F. Goodrich Company. 



CHAPTER XXIV 

FINANCIAL AIDS— GROUP INSURANCE 

Gradual Development of Insurance Idea 

Insurance, the second type of financial aid for the worker, 
is not a new idea in industry or in community action. For 
centuries the notion of protection through a common pool 
of funds established against hazards of various kinds, has 
been familiar and generally accepted as sound business prac- 
tice. This impulse to make such provision is what distinguishes 
the savage from the civilized man. Capital became possible 
only when men exerted themselves for needs beyond the imme- 
diate. The power to look ahead is one of the most precious 
of all human assets, and the encouragement of such provision 
is a privilege as well as an obligation. In the United States, 
however, the safeguarding of the future of the worker through 
large-scale and co-operative effort between the management 
and the working force is comparatively new. 

Early Mutual Insurance for Workers — Defects 

There has always been some effort, among various groups 
of the working population, to make provision for aid in case 
of death, and to a slight degree to provide against sickness. 
This has been especially noticeable among the immigrant 
groups who have brought over with them their custom of 
mutual insurance. Fraternal orders and lodges have for long 
been a familiar feature of early enterprises among the immi- 
grants. Many enterprises of this sort, however, have gone 
on the rocks because of financial incompetence. Industry has 
felt the reaction of such failures through the demoralization 
which such a catastrophe always causes among its victims. 

357 



35^ LABOR MAINTENANCE 

Range of Mutual Insurance in Industry 

The movement for mutual protection grew so rapidly that 
many new demands and elements had to be considered. The 
field of mutual insurance came to cover in modern industry 
exigencies such as the following: 

i. When there is temporary impairment of the capacity 
for work, and, with this, of the earning power, 
whether this comes about through causes relating 
to the individual (subjective causes) or through 
material conditions, namely: 

(a) Through sickness (sickness insurance). 

(b) Through accident (accident insurance). 

(c) Through child-bearing and what follows it 

(maternity insurance). 

(d) Through poor conditions of the labor market 

(unemployment insurance). 

2. When there is permanent impairment of this working 

and earning power, which may have its causes : 

(a) In the after-effects of sickness or accidents 

(invalidity insurance). 

(b) In advanced age (old-age insurance). This 

permanent incapacity for earning may be 
either partial or total. 

3. When there is complete destruction of the personality 

— that is, when death comes, in so far as there is 
by reason of death a financial loss suffered: 

(a) As a result of the expenditures for the burial 

(burial-money insurance). 

(b) For the surviving (widow's insurance). 

(c) For the surviving children (insurance of 

orphans). 1 



See "Social Insurance," by Isaac M. Rubinow. 



FINANCIAL AIDS — GROUP INSURANCE 359 

Legislative Control 

Obviously, a movement so vital to the well-being of a 
vast number of workers could not long be left in the hands 
of untrained or unfit persons, the consequences of whose 
maladministration had such wide-reaching effects. Legisla- 
tion stepped in to provide a certain measure of safeguard. 
This helped, although it did not go far enough. Nobody 
questions, however, the value of these provisions or the benefit 
to industry itself in having these stabilizing and comforting 
measures carried out. 



How Employers Can Help Mutual Insurance 

The attitude of managers has always been friendly to 
enterprises of mutual aid and protection. In recent years, 
moreover, there has been a commendable advance from friendly 
passive interest to active co-operation. It has been found 
desirable not only to encourage mutual benefit activities, but 
also to give them the needed assistance of expert help, and 
even money, to make them strong and effective. 

Lack of accounting knowledge, to say nothing of actuarial 
skill, drove many benefit societies, even though honestly con- 
ducted, to the wall. It could not be expected of workmen 
not used to financial matters that they should foresee the 
consequences of bad financial methods. This financial skill 
was something which a big business enterprise could supply 
or secure. The advice of the employer has saved many a 
workman from the total loss of his contributions. The em- 
ployer's bookkeeper, or treasurer, was able to correct glaring 
bad practice, and thus salvage something in time for those 
who were giving up a part of their weekly earnings to safe- 
guard their future. 

Savings banks and regular insurance companies have done 
much good educational work. But in addition to all the 



360 LABOR MAINTENANCE 

millions of people they reach, there was and is yet much room 
for insurance enterprise, particularly on the part of industry. 

Why Industry Has Taken Up Insurance 

The truth is that the employer has come to concern himself 
with the protective activities of his employees in sheer self- 
defense; and it may be said that such interest on his part 
has been generally welcomed and appreciated. We have now 
reached the stage of large co-operation between industrial 
organizations and their employees in the work of maintaining 
various kinds of insurance activities. We may safely say 
that such co-operation is still in its initial stages; but there 
will be rapid and interesting developments in the near future, 
because nothing conduces so much to personal contentment and 
attention to one's work as the feeling that provision has been 
made against the uncertainties of life. 

The opportunity to encourage as well as to strengthen 
self-help projects on the part of large numbers of men is 
singularly abundant in modern industrial establishments. To 
the credit of their managers it must be said a fair number 
have not let the opportunity slip. To help a man save against 
the future, and to do so in some co-operative plan with his 
fellows, is about as genuine a service as one man can render 
to another. 

Self-Help Among Workers — Benefit to Employees 

We stress the point of self-help. Insurance and other 
benefit projects must be conceived in the spirit of personal 
initiative by those who are to be the beneficiaries. There is 
no charity here. Co-operative help is among other things a 
kind of insurance against needing charity. So a large part 
of the responsibility for its conduct must fall on its member- 
ship. It is their enterprise. Others, such as the employer, 
or the industry, if it is involved, may supply needed expert 



FINANCIAL AIDS — GROUP INSURANCE 3 6x 

assistance and safeguards, also contributions toward the com- 
mon fund; but in essence, the major burden of maintaining 
mutual benefit projects should always be shouldered by the 
membership as a whole. Otherwise the great educational 
values in these projects will be lost. 

It is true that the public, the industries, and various 
agencies of public or private nature may be required more 
and more to undertake at least in part the task of insurance 
of one kind or another. That will not, however, lessen the 
need for mutual insurance undertaking within an industrial 
organization. On the contrary there may be a new stimulus 
for such work. 

Whichever part supplies most of the funds and whatever 
the proportion of respective contribution may be, the fact 
remains that large employing organizations have a very direct 
interest in the nature of the insurance that is carried; and 
it is also true that those associated in such organizations have 
enough in common to make a mutual benefit society inevitable 
within the organization. 

Group Insurance 

Thus far, we have already considered two sorts of in- 
surance: the mutual aid insurance among workers, controlled 
and participated in only by the workers, and industrial in- 
surance, in which industry took an active hand. We shall 
now consider group insurance, which goes a great deal farther 
than either of the others, by a mutual organization of em- 
ployer and employees. Briefly stated, group insurance is life 
insurance maintained by the employer for the employee. The 
employer assumes the small cost of this insurance, usually 
running from I to i^ per cent of what he pays out in the 
form of wages. This form of insurance has developed within 
the last decade and is now found in a large number of estab- 
lishments in this country. The idea is so appealing, its under- 



362 LABOR MAINTENANCE 

lying principle so sound, and its cost so low, that we may- 
expect to see it expand greatly in the immediate future. The 
progress of the movement has been greatly helped by the atti- 
tude of the regular insurance companies of the country. It is 
estimated that at least 40 per cent of the persons now in- 
cluded in the group insurance policy, perhaps a greater per 
cent, would never buy life insurance of their own accord. 
Thus the field of activity of the insurance companies is cor- 
respondingly widened. 

The Principles of Group Insurance 

The underlying principle of this form of insurance is that 
the employer by a slight added cost to his pay-roll may act 
for all his employees and give them security for their future. 
None of their time or energy is consumed in sharing in the 
management of a benefit fund. They become more efficient in 
their daily work, more permanent in their employment, and 
more loyal to the firm. It is, therefore, good business for 
the employer to assume a responsibility that looks toward 
the time when employment ceases. 

Advantages and Disadvantages 

The advantages of this form of insurance are many and 
only the more evident need be enumerated. 

The plan accepts a group of employees without excluding 
any on account of individual non-insurability. It means 
greater efficiency in production because it leads to a more 
careful selection, through a medical examination when neces- 
sary, of the employees of an establishment. It is the cheapest 
form of insurance, as a single blanket policy covers an entire 
group of carefully selected people and for a limited time 
only. On the other hand, it frequently gives the benefit of 
insurance to persons who would not pass the usual life in- 



FINANCIAL AIDS — GROUP INSURANCE 3°3 

surance medical examination. It creates a friendly relation 
between employer and employee. It frees society from some 
part of the cost of charity relief. It looks beyond the employee 
to the welfare of his dependent family. It throws the burden 
of insurance, in some measure, on industry itself. 

The disadvantages of the group insurance are not, perhaps, 
so obvious. First, it may deprive the workman of the incen- 
tive of acting for himself by insuring his own life, contributing 
to a benefit fund, or establishing a bank account. It is opera- 
tive only for groups of ioo or more. It fails to meet the 
contingencies of sickness and accident. It compromises the 
independence of the worker by the loss of insurance in leaving 
his position. It may, it is claimed, impair the power of col- 
lective bargaining. It entails the danger of causing the work- 
man to feel that the premium comes out of his own wages. 

But the advantages seem to outweigh the disadvantages. 
The great underlying result to be desired is the security of 
industry and of the industrial worker. For generations it 
has been recognized that financial insurance is the best form 
of security; the new plan makes such insurance available to 
greatly increased numbers of people. 

How the Plan Has Operated 

On every hand we find evidence of more than satisfactory 
results in the working out of the group insurance plan. The 
advantages of the plan, as presented above, have been observed 
in scores of industrial organizations that have adopted the 
system. From the standpoint of the employer it has reduced 
labor turnover. 

The Cincinnati Planer Company, for example, reduced its 
labor turnover from 422 per cent in 19 16, to 13 1 per cent in 
19 18, by the adoption of group insurance. 

The Victor Talking Machine Company tried group in- 
surance for a limited number of its employees in 1913, with 



364 LABOR MAINTENANCE 

such success that the company now carries over $5,000,000 of 
insurance for more than 7,000 employees. 

The Packard Cleveland Motor Company has recently 
adopted group insurance. In regard to this the general man- 
ager of the company wrote the author as follows: 

The writer had a splendid opportunity to observe the 
value of group insurance while with the Burroughs Adding 
Machine Company, and we feel confident the results in 
stabilizing labor, attracting and retaining employees of the 
better grade all the way through the organization, etc., will 
repay us for the outlay, which, by the way, is surprisingly 
low. 

Deere and Company, the great plow manufacturers, have 
experimented with group insurance for several years and have 
taken out insurance covering all the employees in their 29 
factories. 

The Crane Company, another great manufacturing con- 
cern, covers its 8,500 employees with an insurance contract of 
$7,000,000. 

Life insurance has been taken out by the E. I. Du Pont 
de Nemours and Company, Wilmington, Delaware, for about 
25,000 employees, including those of some of its close sub- 
sidiaries. While all the associated companies are not covered 
by this policy, it is expected that provision will soon be made 
for these others also. All charges are paid by the company. 
The individual minimum insurance is $1,500, which is payable 
to the employee's beneficiaries. The insuring of the workers 
takes the place of the former plan of the company, under 
which they gave to all the employees a sum equal to their 
total savings. 

Officials of the New York Shipbuilding Corporation, 
Camden, New Jersey, say that their new plan of group in- 
surance has had a remarkable effect in stabilizing labor. Under 
their plan, insurance of $500 is given each worker for one 



FINANCIAL AIDS — GROUP INSURANCE 3 6 5 

year of service, and $100 for each year thereafter for 17 
years, making a total insurance of $2,200. The policy becomes 
void upon termination of employment. Up to the time this 
was written 26 claims aggregating $33,900 had been paid. 

One of the latest of our great industrial concerns to adopt 
group insurance is the American Woolen Company, whose 
announcement is of interest here. 

Announcement 

The American Woolen Company announces that on June 16, 1919, 
it will inaugurate a system of group life insurance under which 
every employee of the American Woolen Company, including both 
the selling and manufacturing departments, and by that we mean 
everyone, including men, women, girls, boys, and including the offi- 
cials, will receive absolutely free of cost to them, the company 
bearing the entire expense, a policy covering their lives, of from 
$750 to $1,500, depending upon the length of service of the particular 
employee. The schedule of amounts is given below: 

Those employed for a period of less than one year $ 750 

Those employed for a period of one year and less than 

one year and a half 850 

Those employed for a period of one year and a half and 

less than two years 950 

Those employed for a period of two years and less than 

two years and a half 1,050 

Those employed for a period of two years and a half and 

less than three years 1,150 

Those employed for a period of three years and less than 

three years and a half , 1,250 

Those employed for a period of three years and a half 

and less than four years J ,350 

Those employed for .a period of four years and less than 

four years and a half 1,450 

Those employed for a period of four years and a half 

and more 1,500 

Not only is the original premium paid by the American Woolen 
Company, but the entire expense thereafter is borne by it. Under 



3 66 LABOR MAINTENANCE 

no circumstances does any employee pay even one penny of the cost 
of maintaining the policy on his or her life. 

Any employee who happens to be absent on June 16, 1916, will 
be included in the plan outlined above upon his or her return to 
work, provided he or she is or has been prior to June 16, 1916, on 
the pay-roll of the mill in which he or she is employed. Persons 
entering our employ after June 16, 1916, will not be entitled to the 
above privileges until he or she has been for six months continuously 
on the pay-roll of the mill in which he or she is employed. There 
is to be absolutely no cost to any employee. No medical examination 
is required. These benefits will be given in addition to any other 
benefits provided by the Compensation Law of the state. 

Certificates of insurance will be provided for each employee 
just as soon as those certificates can be prepared by the insurance 
company. 

American Woolen Company, 
Wm. M. Wood, President. 

Boston, Mass., June 11, 1919. 

Synopsis of a Group Insurance Policy 

The outline of the group insurance policy issued by one 
of the large insurance companies of this country may be pre- 
sented here as an explanation and summary of the idea in- 
volved in group insurance. In a synopsis issued by the com- 
pany it is stated that: 

To be insured on this plan a group must represent the 
employees of one person, firm, or corporation and number 
not less than one hundred. The policy is purchased by the 
employer and the employer is responsible for the payment 
of premium. 

A group may consist of all employees in active service 
who are more than 15 years of age; or, if so desired, may 
comprise less than all, provided exclusion is in accordance 
with some definite plan, such as length of service, amount of 
salary, etc. 

The amount of insurance on each life may be made 
uniform or may vary according to some definite plan. The 



FINANCIAL AIDS — GROUP INSURANCE 3 6 7 

maximum amount accepted on any one life will be $3,000 
and the minimum $250. 

New employees between the ages of 15 and 65 may be 
subsequently added to the group, and the amount carried on 
any employee in good health may be increased. 

The group policy will be issued without medical ex- 
amination of the individual employees (unless required by 
law) but evidence of insurability will be required of new 
employees before they are added to the group. 

The policy will be issued as a one-year term policy, 
renewable at the end of each year for the ensuing year by 
the payment of the premium for that year. 

Premium rates will depend on the ages and occupations 
of the individual employees. They can be quoted when 
accurate information in this respect is furnished to the com- 
pany. The total premium payable by the employer is the 
sum of the premium for the insurance on the individual 
employees. It will be noted that on this plan the individual 
premiums, being based on attained ages, increase from year 
to year. Under normal conditions, however, the total 
premium is not likely to vary greatly, because the changes 
constantly occurring in the composition of the group tend 
to keep the average age, and consequently the average 
premium, about the same. 

Premiums during the first five-year period will be com- 
puted upon the basis of a table of rates written in the policy. 
But the company reserves the right, at the end of each five- 
year period, to change the rates upon the basis of which 
subsequent renewals may be effected. 

Annual dividends, as ascertained and apportioned by the 
company at the end of each policy year, are payable under a 
group policy, thus reducing the net cost of the policy. 

A prominent feature of the group policy is a provision 
that if any male employee less than fully 60 years of age 
shall become totally and permanently disabled, no premiums 
shall be payable thereafter on account of his insurance, and 
payment of such insurance shall be made in instalments 
over a period of five years, such payments to begin six 
months after the disability occurs. 

Immediately on receipt of due proof of the death of any 



3^8 LABOR MAINTENANCE 

employee insured under the group policy, the insurance on 
such life will be paid in one sum, or in twenty-four monthly 
instalments over a period of two years, or in fifty-two weekly 
instalments during one year. Should payment be made in 
instalments, each instalment will be increased by such 
dividend as may be apportioned by the company. Payment 
will be made to the beneficiary named by the employee. 

Certificates will be issued to the individual employees, 
showing the amount of insurance on each life and the name 
of the beneficiary to whom the insurance would be paid in 
event of the death of the employee. The benficiary named 
on the certificate may be changed as desired by the employee. 

The insurance carried on any employee will terminate 
with the termination of employment, except that if the em- 
ployment is terminated on account of total disability, the 
employer may continue the insurance during such disability 
by the payment of the premium. A refund of any unearned 
portion of a premium on account of the termination of 
employment will be made in event of such termination. In 
event of termination of employment where an employee has 
been insured for at least one year, he may convert his 
insurance into a policy on any of the company's regular 
plans without medical re-examination and at the then cur- 
rent rates of the company for such a policy, and the in- 
surance on his life may thus continue in force. 



CHAPTER XXV 

FINANCIAL AIDS— PROFIT-SHARING, ETC. 

Service Annuities, Pensions, and Service Bonuses 

Before we discuss profit-sharing proper, the last con- 
sideration in financial aid, we shall consider several other 
things which are not profit-sharing but which are akin to it: 
service annuities, pensions, and service bonuses. 

Among methods of stabilizing the working forces in in- 
dustry, plans for pensions and service annuities are a com- 
paratively recent development. Employers are beginning to 
see that the loyal service of those who practically spend their 
lives with a concern and, in old age, have little or nothing 
to fall back upon for support, ought to be rewarded. The 
American Smelting and Refining Company and its subsidiaries, 
for example, have established a pension system "as an evidence 
of their appreciation of the fidelity, efficiency, and loyalty of 
its employees." This is the general motive in pension plans. 

Solvay Process Company's Pension Fund 

Space here does not permit of extended discussion of the 
subject, but we may well point out the important features of 
a few typical plans. The Solvay Process Company has had 
a plan since 1908 and its benefits are intended "for such of 
its men as have been incapacitated by reason of old age, sick- 
ness, or accident after long service.' , The size of the pension 
depends chiefly upon the amount received by the beneficiary 
during the ten highest paid years of his service. Pension pay- 
ments are made from a fund originally set aside out of profits 
and kept in a separate account. This fund has been increased 

369 



370 LABOR MAINTENANCE 

from month to month by making payments to it of a certain 
number of cents per ton of product. All income from the 
fund is credited to it, while expenditures and pensions are 
charged against it 

The American Sugar Refining Company 

The American Sugar Refining Company has set aside 
$300,000 for its pension fund and additions are made from 
time to time. Male employees over 65 years of age and 
women of 60 and over, are retired at the option of either 
the company or the employee. The amount of the pension 
is equivalent to 1 per cent of the average annual wage or 
salary during the 10 years preceding retirement, multiplied 
by the years of service, but no pension may exceed $5,000 
per year to any individual, and no pension after a service 
of 25 years is to be less than $20 per month. Officers and 
employees of the company after 30 years' service (25 years 
for women) are permitted if they desire it, to retire on this 
pension-basis whether they have reached the age of 65 or 
not. Administration of the plan is in the hands of a pension 
committee. 

Swift and Company 

Swift and Company have created a fund of $2,000,000 
for pensions, administered by a pension board consisting of 
5 members who are officers or employees of the company. 
These members are appointed annually by the directors to 
serve 1 year. The board elects from its members a chairman 
and a secretary. The member of the company is ex officio 
member of the fund. 

Employees who reach the age of 60 (women 50) and have 
served continuously for 25 years or longer may be pensioned 
at the discretion of the board; those who have served the 
number of years mentioned above and have reached the age 



FINANCIAL AIDS — PROFIT-SHARING, ETC. 37 1 

of 65 (women 50) are entitled to pensions. An employee 
who has a record of service for 15 to 25 years or more and 
is permanently incapacitated for work through no fault of 
his or her own may be pensioned at the board's discretion. 
Employees who entered service after August 1, 1916,, and 
who were over 40 years of age at the time are ineligible. 

The pension of employees regularly retired on account of 
age and length of service, and of employees retired on account 
of permanent incapacity for work prior to reaching the age 
of retirement (if they have served 25 years or longer) con- 
sists of one-half of the average annual salary or wage for the 
5 years preceding retirement. The pension for those who are 
permanently incapacitated and have been in service for 15 
years or longer up to 25 years, is iy 2 per cent of the average 
annual salary or wage for the 5 years preceding retirement 
for each year of continuous service. In no case is the pension 
to exceed 50 per cent of such average salary or wage or the 
maximum pension of $5,000 per year. The minimum is $240 
per year. 

The plan contains special provisions for widows and de- 
pendents of deceased employees. The widow (or if no widow, 
then the children under 18 and unmarried) of an employee 
whose term of service was 15 years or more up to 25 years, 
who was in the service of the company at the time of his 
death, may receive a pension equal to % of 1 per cent of the 
average annual salary or wage of the husband (or father) 
for the 5 years prior to his death for each year of continuous 
service. 

If the employee has been in service continuously for 25 
years or more, such pension is to be *4 oi the average annual 
salary or wage of the husband (or father) for the 5 years 
prior to his death. In no case may the pension exceed 25 per 
cent of such average salary or wage, nor may the maximum 
pension be more than $2,500 a year. On the remarriage of 



37 2 LABOR MAINTENANCE 

the widow her pension ceases, but one-half of the pension may 
be paid to her children if they meet the above requirements. 
As each child reaches the age of 18, or marries, his or her 
interest in the pension ceases. 

If employees are under 21 years of age, the service records 
for computing pensions do not begin until they reach that age. 

The widow of an employee who married him after he 
reached the age of 50, or the widow of a pensioner who 
married him after he was pensioned, or their children, are 
not entitled to a pension. Pensions may be suspended or can- 
celed for misconduct, or other cause 'sufficient in the judgment 
of the board to warrant such action. No contractual rights 
are given employees by this plan and the company may dis- 
charge an employee without liability other than for salary 
or wages due and unpaid. 

One who has been pensioned because of disability, may 
be required to re-enter active service of the company if, in 
the judgment of the board, the condition of his or her health 
warrants such action. In the event of failure to do so on 
proper notice, the pension may be suspended or terminated. 

The Bell Telephone Company 

In 19 16, the Bell system of telephone companies set aside 
$9,000,000 to carry out a plan of benefits for its employees. 
Of this fund $3,000,000 was devoted to the New York Tele- 
phone Company, the Bell Company of Pennsylvania, and the 
Chesapeake and Potomac Telephone Company. 

Pensions are given to employees who have been in service 
for 30 years and are between 50 and 55 years of age. Those 
in service 25 years and who are between 50 and 60 years old 
and those in service 20 years and who are 60 years old, are 
also eligible for pensions. 

Provisions are made for accident payments and in case 
of death from accident the plan provides for payment to 



FINANCIAL AIDS — PROFIT-SHARING, ETC. 373 

beneficiaries of three times one year's wages regardless of 
liability or length of service. Pensioners may engage in busi- 
ness which is not prejudicial to the company's interests. (For 
typical by-laws, forms, etc., of benefit and pension regula- 
tions, see Appendix G.) 1 

Service Rewards • 

Outside of pension arrangements, various plans have been 
developed for rewarding promptness and steady attendance and 
continuous service of employees. Space here will permit of 
only two examples. The International Silver Company, 
Meriden, Connecticut, gives employees a service reward of 
5 per cent of the total wages earned by them each week if they 
fulfil the following conditions. 

1. Getting to work promptly at starting time. 

2. Working the full number of hours laid out for the 

job or department. 

3. No absences during the week. 

If a person is late or absent during any week the service 
reward for that week is forfeited. A slip is placed in the 
regular pay-envelope each pay-day showing when the service 
reward is due for perfect attendance during the previous week. 
The money for the reward is paid on the regular pay-day 
during the fourth week thereafter; but no reward is paid to 
one who leaves the company's employ, i.e., a person leaving 
before the four weeks are up is not entitled to the reward. 



1 Other concerns having plans for pensions are: General Fire Extinguisher 
Company, N. Y.; R. Wallace and Sons Manufacturing Company, Wallingford, Conn.; 
Procter and Gamble Company, Cincinnati, Ohio; Vermont Marble Company, Proctor, 
Vt. ; B. F. Goodrich Rubber Company, Akron, Ohio; International Silver Company, 
Meriden, Conn.; Lehigh Valley Transit Company, Allentown, Pa.; Pittsburgh Coal 
Company, Pittsburgh, Fa.; Dennison Manufacturing Company, Framingham, Mass.; 
N. O. Nelson Manufacturing Company, St. Louis, Mo.; International Harvester 
Company, Chicago, 111.; John B. Stetson Company, Philadelphia, Pa.; Talbot Mills, 
North Billerica, Mass.;. Edison Electric Illuminating Company, Brooklyn, N. Y. ; 
Crane Company, Chicago, 111.; Sherwin-Williams Company, Cleveland, Ohio; United 
States Steel Corporation, New York City, N. Y. ; Cleveland Foundry Company, 
Cleveland, Ohio; Hercules Powder Company, Wilmington, Del.; United States Rubber 
Company- 



374 LABOR MAINTENANCE 

The company also has an Annual Service Reward paid 
annually after July i, 191 7, as follows: Those who continue 
in employment for 1 year or more are paid 25 per cent of the 
total weekly service reward paid them during the year. 

2 years or more 50 per cent 

3 " " " .*. 7^ " " 

4 " " " 100 " " 

The record of continuous employment is broken by: 

1. Discharge. 

2. Leaving employment for any reason. 

3. Permanent lay-off due to lack of work. 

How the Plan Works 

As an instance of how the plan works, the company gives 
this example: 

If John Robinson has a record on December 1 of any 
year of not being late or absent for 48 out of 52 weeks of 
the year just passed and has averaged $15 per week during 
the year, he will have been paid a total of 75 cents per week 
for 48 weeks or $36 during the year. If he has been con- 
tinuously in the employ of the company for more than 1 
year from July 1, 1917, he will receive an additional reward 
of 25 per cent of the $36 paid him during the year, or $9. 
If employed for 2 years he will receive 50 per cent of $36, 
or $18, additional reward, and so on. 

The Wage Bonus 

Another plan, called a wage bonus plan is in its third year 
of operation at E. A. Mallory and Sons, Incorporated, hat 
manufacturers at Danbury, Connecticut. Those who have 
been in the company's employ (including heads of depart- 
ments) one or two years receive 5 per cent of their year's 



FINANCIAL AIDS — PROFIT-SHARING, ETC. 375 

pay, while those who have been with the company more than 
two years receive 10 per cent. 

The Nature and Growth of Profit-Sharing 

Profit-sharing proper means the apportioning to the 
worker, in addition to a fixed wage or salary, some definite 
part of the excess profits of a concern, above a fair return to 
capital. In a large sense the workman has always been em- 
ployed under a profit-and-loss system. When an industry 
has been prosperous, it has usually provided full-time employ- 
ment and good wages; when it has failed to be prosperous 
it has afforded but part-time employment and low wages. 
Thus the condition of the worker has depended constantly 
upon the condition of industry. 

It has come to be recognized more and more in recent 
years that there are three parties to industry. These are: 

1. The stock-holding group, which furnishes the plant 

and the capital necessary for its operation. 

2. The administrative and selling group, which comprises 

all officers, accountants, salesmen, and others in 
various branches of managerial and business ac- 
tivities. 

3. The manufacturing group, which includes all the fac- 

tory workers in an industry. 

The modern demands for co-operation, fair play, and a 
just division of the rewards of labor, call more and more 
emphatically for an equitable division of the profits of indus- 
try among these three groups. 

History of Profit-Sharing 

Profit-sharing in this country began about twenty years 
ago when the N. O. Nelson Company of St. Louis, the Procter 
and Gamble Company of Cincinnati, and the Bourne Mills 



37 6 LABOR MAINTENANCE 

of Fall River, Massachusetts, showed that it could be success- 
fully carried out. But with a few notable exceptions profit- 
sharing has not been successful in the United States until 
recently. In England greater success has been achieved. 
Americans made many attempts to emulate the English 
example in the period after 1870; but they made the mistake 
of supposing that profit-sharing would solve existing labor 
difficulties. 

In 1899, N. P. Gilman, in his work on profit-sharing, 
named 32 American firms as having at that time undertaken 
to establish some form of profit-sharing. In 1892, the Associa- 
tion for the Promotion of Profit-Sharing was formed. But 
no great advancement was made until recent years, in which 
a marked revival of interest in the subject has arisen. Public, 
scientific, and trade periodicals have lately published many 
discussions on the subject. Employers are giving the matter 
close study. Public and private agencies as well as individuals 
have conducted investigations into its practice and possibilities. 

As a form of gain for the worker, profit-sharing, in the 
opinion of some, may take the place of other forms of provi- 
sion for the present and future benefit of the worker; but 
it involves elements of difficulty, especially in considering the 
responsibility of the profit-sharer in management. This will 
be touched on later in a discussion of the plans now in 
operation. 

It would not be easy to state the chief causes that made 
the progress of the movement for profit-sharing in this coun- 
try exceedingly slow for 30 or 40 years. Among the causes 
might be mentioned the conservatism of large industrial con- 
cerns in methods of paying the worker, and their unwillingness 
to adopt what might seem to be a problematic rate of pay- 
ment, to admit the worker to some degree of ownership or 
management in manufacture, or to reduce systematically the 
profits of invested capital. Probably many trials of attempted 



FINANCIAL AIDS — PROFIT-SHARING, ETC. 377 

profit-sharing have failed because too much was expected of 
the new system and insufficient investigation and preparation 
had been made before adopting it. Its limitations should be 
entirely understood, and it should not be made a recompense 
for a low wage. Neither should there be any fear that it 
will lead to the control of an industrial establishment by the 
body of employees. 

Opinion Growing in Favor of Profit-Sharing 

As a result of more careful study of the subject in recent 
years and a wider dissemination of information in regard to 
it, profit-sharing is now attracting the attention of the best 
minds in American industry. It appears clearly to be a sound 
method of promoting co-operation between employer and em- 
ployee and of increasing permanently the interest of the 
worker in his job. Clearly, it will promote labor stability, 
reducing the turnover that affects industry not merely year 
by year, but day by day. It will bring out the best that is 
in the workman, not only to do his daily task well, but to 
share in some degree in the thinking and planning that must 
be behind every industrial enterprise. The workman becomes 
not a capitalist, but a co-operator in industrial enterprise. 

A Succinct Statement of the Case 

Henry S. Dennison, President of the Dennison Manufac- 
turing Company, Framingham, Massachusetts, states the 
matter succinctly in Factory for March, 19 18: 

Studies in the field of industrial relations can well be 
confined to bettering the conformity of wage to effort and 
to worth; to increasing the opportunities of the employees 
to express their ideas as to all conditions of their work; 
and to the establishment of a social relation worthy of the 
name between manager and worker. If profit-sharing studies 
are confined to the logics of control and of surplus earnings, 



378 LABOR MAINTENANCE 

a great contribution toward social advance may be made 
before long. 

Profit-Sharing Defined 

In profit-sharing, pay is really divided into two portions — 
a major portion which is fixed in advance, and a minor 
portion which varies according to the profits of an entire 
concern or a division of it. The terms "general" or "unit" 
or "individual" profit-sharing are used according as the divi- 
sion is made from the general or total profits of an industry, 
from the earnings of a department, or from the individual 
worker's own efforts. An example of the last kind is the 
percentage of his sales which a traveling salesman receives 
in addition to his fixed salary. In industry, however, we shall 
be most concerned with general profit-sharing. 

Bonuses Not Profit-Sharing 

An increasingly large number of employers are paying a 
periodic bonus, computed on a certain percentage of wages. 
Clearly this is not profit-sharing, since it is based on wages 
and not on profits. Some firms pay a bonus at the end of 
each year, with the understanding that it shall be based in 
part on the earnings of the firm. Other firms pay a bonus 
without previous announcement. Such plans lack the essen- 
tial of profit-sharing — the division of a fixed percentage of 
the profits of industry, known in advance and without regard 
to the daily earnings of the worker. 

Surplus profits, above a fair return to capital, should be 
apportioned between two groups of employees, the executive 
or managerial group, and the industrial group usually implied 
in the term "workers." Since it is not easy to determine a 
"market" salary for the first group it is easier to include it 
in a profit-sharing system, after establishing a nominal rate 
of pay. Thus we may expect the system to be applied most 



FINANCIAL AIDS — PROFIT-SHARING, ETC. 379 

readily and generally to the executive group in an industry. 
In the case of the worker in the industrial plants the system 
can be most easily applied to small groups. 

Profit-Sharing in Successful Concerns — A. W. Burritt Com- 
pany 

How a number of large and well-known concerns conduct 
their profit-sharing systems is of interest at this point. 

The following statement of the A. W. Burritt Company, 
of Bridgeport, Connecticut, to its employees, showing the 
liberal attitude of the modern employer, and the profit-and-loss 
sharing contract of the company with its employees, is well 
worth close study. 

To Our Employees, and to Anyone Interested in Industrial 

Co-operation 

From the commencement of our business, we have endeavored 
to develop a spirit of co-operation, with the purpose of overcoming 
that spirit of indifference to each other's interests, so common be- 
tween employers and employees. 

It is obvious that such indifference constitutes a most serious 
handicap to the welfare of the employee as well as to the success 
of the business and that this obstruction to their prosperity will 
be removed to just the extent that both employee and employer 
recognize the interests of each other and conscientiously and intel- 
ligently co-operate to protect and further such interests. 

The development and perfection of such co-operation, to a point 
that is both just and practical, constitutes a problem in the human 
relationship, worthy of the best thought and effort on the part of 
both employer and employee. 

Our thoughts along this line, covering a period of many years, 
have crystallized in what we believe to be the essentials of any plan 
for the development of industrial co-operation. These are : 

I. That those having the active management of a business, 
should be financially interested therein, and so nearly as 
possible everyone in proportion to the relative importance 
of his services to the business. 



3 80 LABOR MAINTENANCE 

2. That for those employees whose duties are such as render 

it impracticable to measure or standardize their individual 
effort, but which require, in addition to faithfulness, an 
exercise of intelligent judgment, there should be some 
provision whereby they may participate, on an equitable 
basis, in the results of the business operations. 

3. That for those employees whose duties can be measured with 

a reasonable degree of accuracy, there should be a 
standardization of their production, and a graded bonus 
for production in excess of such standard. Any plan of 
this nature should be so devised as to overcome the in- 
evitable tendency towards individual and group selfishness 
which, if existent, is certain to destroy co-operation. 

Subject to such modification as adaptation to the nature of dif- 
ferent businesses may render necessary in the method of application, 
we believe these three essentials constitute a practicable and equitable 
means of harmonizing the relations between employers and employees. 

Profit-and-Loss Sharing Contract 

This article of agreement, made and entered into this 

day of , one thousand, nine hundred and , 

by and between The A. W. Burritt Company, party of the first 
part, and the signers hereto, all employees of said company, party 
of the second part, Witnesseth as follows: 

First — It is agreed that the party of the first part and the party 
of the second part shall share the profits and losses of the business 
of The A. W. Burritt Company so long as they are both parties 
to this agreement. 

Second — The profit shall be ascertained as follows: The in- 
ventory of the 1st of February past shall be taken as the starting 
point, and an inventory shall be taken in the same form on February 
1st each year thereafter. From the gross results thus obtained, 
shall be taken all expenses of every kind, including depreciation 
of buildings, tools and machinery, and bad debts; and the results 
of the above shall be considered the net gain or loss, as the case 
may be. If the result thus shown shall be gain, the capital actually 
invested as shown by the inventory at the close of each year shall 
first draw six per cent (6%) interest (or in case there is less than 
that amount, shall draw what net gain there is, in liquidation of its 



FINANCIAL AIDS PROFIT-SHARING, ETC. 3^1 

claim) : the balance then remaining shall be divided between the 
party of the first part and the party of the second part in such 
proportions as the actual capital invested in the business bears to 
the total wages of the party of the second part for each current 
year. The total amount coming to the party of the second part 
shall be divided among its individual members as the year's earning 
of each bears to their total earnings. 

Third — For each current year, one-tenth of the wages of each 
of the parties of the second part shall be withheld by the party 
of the first part weekly, and in case there has not been a net loss 
on the entire business of the year, this reserved money, together 
with his share in any accrued profit as figured above, shall be paid 
to each of the parties of the second part on or before March ist 
of each succeeding year. 

Fourth — In case there should be a net loss made on the business 
of the year, without figuring any dividend for capital as above 
provided, this loss shall be divided between the party of the first 
part and the party of the second part in the same manner as described 
for dividing profit; but the party of the second part in no case shall 
become responsible for losses greater than the amount reserved from 
his wages. 

Fifth — Other employees of The A. W. Burritt Company may 
become parties to this agreement after this day, on invitation of 
the party of the first part; but the computation of their share shall 
be figured only on wages earned after the date of their signature. 
Any party of the second part may withdraw, either from this 
contract or from the company's employ, at any time, but the party 
of the first part holds the right to retain his reserve until the 
expiration of the current year and if said reserve is held, its owner 
shall share in profits or losses unless his reserve has been retained 
until the end of the year, except as provided in article seventh. 

Sixth — The party of the first part can at any time discharge 
any party of the second part from its employ and require him to 
withdraw from this contract, but, in such case, said party of the 
second part shall have the option to withdraw his full reserve or to 
leave it until the end of the "ear to share in results as above 
described. 

Seventh — It is further agreed by the party of the first part 
that no party of the second part shall be temporarily retired from 
work, so long as the party of the first part has any work of the 



3 82 LABOR MAINTENANCE 

kind said party of the second part is accustomed to do; but if there 
should be a shortage of work in the hands of the party of the 
first part, it shall reduce the hours of work and so divide the work 
between the parties of the second part. If at any time any party 
of the second part should become sick or incapacitated to perform 
his duties, and has the certificates of a reputable physician that 
he is so incapacitated, after two weeks' duration of said sickness, 
said party can draw on his reserve wages at a rate not greater 
than six dollars ($6) per week, without affecting his interests in 
the profits at the end of the year. Further, if any party of the 
second part should become injured on account of any accident while 
in the employ of the party of the first part, said party of the first 
part shall, at its own expense, provide him with a competent 
physician or surgeon, after application is made to it stating that 
such services are needed. 

Eighth — If any of the parties of the second part wish to inquire 
into the accuracy of the annual report made to them by the party 
of the first part, the books of the party of the first part shall be 
opened for inspection by any reputable public accountant employed 
by the party of the second part, provided such accountant will agree 
to confine his report to the statement that the company's report was 
or was not correct, and if not correct, shall fully define its error. 

Ninth — It is agreed that all differences and disputes resulting 
from operation of this contract shall be settled by arbitration. 



The Hall-Scott Company 

The Hall-Scott Motor Car Company, of Berkeley, Cali- 
fornia, has just instituted a profit-sharing plan whereby the 
employees of the company will share among themselves 25 per 
cent of the net profits of the concern. 

The net profits of the company will be determined at the 
close of each year and 25 per cent of the net earnings will 
be distributed in cash to the employees and not be turned 
into any benefit or trust fund, according to B. C. Scott, presi- 
dent of the corporation. The division of the profits will be 
based upon the wages of the men, some of whom receive 



FINANCIAL AIDS PROFIT-SHARING, ETC. 3 8 3 

$5 and some $6 and some $7 a day. New employees will 
receive $4 a day, and at the end of three months if they are 
found to be competent they will be made permanent employees 
and come under the profit-sharing plan. 

During the war the plant of this company was devoted 
exclusively to the manufacture of the aeroplane engine known 
as the Liberty motor. 

Morris and Company 

Morris and Company, Chicago meat packers, recently an- 
nounced the adoption of a profit-sharing plan whereby em- 
ployees are enabled to purchase bonds of the company at 
below the market price and at double the usual rate of interest. 
Profit-sharing certificates are to be given to bond-holding 
employees, which permits them to share in 5 per cent of the 
company's profits, to be set aside for the purpose each year, 
to the extent of one-half their salary. 

An English Plan 

William Gray and Company, Limited, West Hartlepool, 
England, ship-engine builders, have inaugurated a system of 
profit-sharing between employer and employees which will 
give every man and woman employed there a direct interest 
in the company's undertakings. The agreement is for three 
years with provision for renewal, and provides that stock- 
holders shall receive 80, and employees who have been with 
the company twelve months or more, 20 per cent of net profits. 

The Endicott-Johnson Company 

The Endicott-Johnson Company, of Endicott, New York, 
the largest shoe manufacturers in the world, recently an- 
nounced a plan for the distribution of dividends among all 
employees. It is proposed to make annual distributions, per- 



3^4 LABOR MAINTENANCE 

mitting every employee a certain percentage of the company's 
net earnings on the basis of earnings during the year. 

The same company was one of the first large manufac- 
turing concerns in the United States to establish the 8-hour 
day as a definite principle. 

The only requisite in the profit-sharing plan is that the 
men must have been employed January I, 191 9, and worked 
one year to share in the distribution on January 1, 1920. The 
plan is that after 7 per cent has been deducted on the preferred 
stock and 10 per cent on the common stock the balance of 
the profits is to be divided equally between the laborers and 
the holders of the common stock. 

Any employee is at liberty to purchase any amount of 
preferred stock he desires and it will be sold to him on applica- 
tion. All the officers of the corporation will work this year 
without salary, that the amount may go to swell the fund 
to be paid the workmen. 

As to the sums to be distributed among the workers under 
the new arrangement, that is purely a matter of speculation. 
The total depends entirely on the year's profits. It was 
generally recognized, however, that in a good year several 
million dollars will be distributed in this way. 

The Solvay Process Company's Profit-Sharing Plan 

The profit-sharing plan of the Solvay Process Company 
is interesting as showing the results of long experience in 
a concern known for its progress in handling employment 
problems. The plan covers the executive group of workers 
only, as will appear below, but the company maintains an 
elaborate bonus system for other employees. The Solvay 
profit-sharing plan is outlined by the company as follows: 

The company since 1888 has had a system of participation 
in profits. The participation is based on the amount of cash 



FINANCIAL AIDS — PROFIT-SHARING, ETC. 3^5 

actually paid to the stockholders in the form of dividends, 
and the amount distributed to the individual varies as his 
salary. 

Participants are divided into 3 classes, called for con- 
venience, first, junior, and senior, and the proportion of 
profits depends upon the class to which the individual be- 
longs; the first receiving the smallest unit, the junior twice 
the first, and the senior three times the first. 

Membership in the participation classes extends from the 
chief executive officers to subforemen, and includes both the 
commercial and manufacturing departments. 

The nature of the work performed, length of service, 
and record as an employee are the qualifications which 
govern eligibility for membership in the participation classes. 
In the senior class are included only the chief executive 
officers and chief technical men; in the junior class, the 
chief technical assistants, the foremen of important depart- 
ments, and the more important office men; and in the first 
class, others to junior clerks and subforemen. The board of 
directors of the company elects the members of each partici- 
pation class. 

Each participant has a formal contract with the company 
which fixes the basis of the participation and the obliga- 
tions of both parties. Contracts are the same in form for 
all classes, except as to the rate of participation. 

Sears, Roebuck and Company ' 

Another notable plan which has unique features, is that 
of Sears, Roebuck and Company, who employ between 30,000 
and 40,000 men and women. About 50 per cent of these 
workers are eligible to participation in the plan, and to date, 
about 90 per cent of those eligible have joined in the benefits. 

The company's announcement says: 

In order that employees may share in the profits of this 
business and to encourage the habit of saving, the firm 
decided to contribute annually a sum equal to 5 per cent of 
its net earnings (without deduction of dividends to stock- 
holders) as shown by the annual audit of its books, to an 



3 86 LABOR MAINTENANCE 

employee's savings and profit-sharing fund beginning July 
I, 1916. 

The plan is intended to furnish to those who remain 
in the employ of the company until they reach the age 
when they retire from active service, a sum sufficient to 
provide for them thereafter, and that even those who achieve 
a long service record, but who may not remain with the 
company all of their business life, will have accumulated a 
substantial sum. 

Every employee, regardless of position, is eligible after 
three years of service so long as he remains an employee. 
When the employee decides to participate he is required to 
deposit in the fund 5 per cent of his salary, but "no employee 
may deposit more than 5 per cent of his salary, and in no 
case more than $150 per annum; this limit being deemed 
advisable so that the higher salaried employees may not too 
largely participate in the fund." 

The contributions of the company are made annually and 
are credited pro rata to participating persons in the propor- 
tion which the amount deposited by each employee during 
the preceding year, for which the company has contributed, 
bears to the total amount deposited by all employees during 
such year. 

Withdrawals are provided for as follows : Depositors who 
have completed ten years of service are entitled to withdraw 
all money credited to their account, including the contribu- 
tions of the company. Those who have not completed this 
term of service may withdraw only the amount they have 
deposited, plus interest at 5 per cent per annum, compounded 
semiannually, and no more. Exception is made for a woman 
depositor who, after 5 years' service, leases to become mar- 
ried, in which case she will be entitled to her full share in 
the fund, including the portion contributed by the company. 
Another exception is made if a depositor dies while in the 
service of the company; in that event his estate is entitled 



FINANCIAL AIDS — PROFIT-SHARING, ETC. 3 8 7 

to the full amount credited, including the company's con- 
tributions. 

Depositors are required to withdraw upon leaving the 
employ of the company, or on failure to make deposits 
regularly. Once having withdrawn, a depositor cannot re- 
enter the fund. When a depositor who withdraws is entitled 
to share in the contributions of the company, he will receive 
the full amount to his credit as shown by the accounting for 
the preceding year, with interest at the rate of 5 per cent. 

The fund is managed by a board of five trustees, selected 
by the board of directors of the company — three of whom 
are officers or directors of the company, and two who are 
not officers or directors. So far as practicable and advisable, 
the fund is invested in shares of stock of the company "to 
the end that the depositors may, in the largest measure possible, 
share in the earnings of the company/' 

Discontinuance of the fund may take place at any time 
by announcement of the company, made at least six months 
before its final yearly contribution. After such announcement 
no new depositors will be eligible to join and the fund will 
be distributed among the depositors pro rata in proportion to 
their interests as ascertained by the board of trustees. 

An Exposition of the Plan's Working 

An interview with' Julius Rosenwald, president of the 
company, published recently in the New York Times, brings 
out clearly how the plan will work out. Mr. Rosenwald said: 

A woman earning $20 a week, for example, for a period 
of 15 years, would pay $780 into the fund, and I believe 
that she will have to her credit at the expiration of that 
time approximately $4,200 as the result of an investment of 
$1 a week. In the same manner an employee earning $3,000 
a year would contribute to the fund $150 a year for, say, 



388 LABOR MAINTENANCE 

30 years, a total of $4,500, and would draw out approximately 
$41,000. These are conservative estimates based on the 
growth of our business in the last 5 years. 



N. O. Nelson Company 

A different form of profit-sharing and one which the 
company has continued since 1886 is that of the N. O. Nelson 
Manufacturing Company of St. Louis. The plan was begun 
with a notice placed in the pay-envelopes saying that the net 
profits of the business, after allowing the commercial rate of 
interest on the capital, would be divided by equal percentage 
between the shareholders and the employees of all' grades 
who had worked six months within the year. Soon after, a 
meeting of employees was arranged and they elected an auditor 
to verify the figures as to the dividend. That year, on account 
of a railroad strike, the dividend was only 5 per cent. But 
the next year saw a dividend of 10 per cent on wages and 
the company announced that thereafter the dividend was to 
be paid in stock. After the panic of 1883 dividends were 
suspended for several years; but this was made up later by 
the company giving 4 per cent for these years. 

In 1905 the company took its customers into the scheme 
and based the shares of such customers upon the gross profits 
of their purchases. Capital then, as now, received 6 per cent; 
but no other share in the profits. The average yield of 
dividends to employees has been about 18 per cent, and they 
now own about one-third of the capital. 2 



2 Among the concerns which have adopted profit-sharing are the following: 
American Rolling Mill Company, Middletown, Ohio; Baker Manufacturing Company, 
Evansville, Wis.; Youngstown Sheet and Tube Company, Youngstown, Ohio; Spencer 
Wire Company, Worcester, Mass.; Lever Brothers, Ltd., Port Sunlight, England; Inter- 
lake Steamship Company, Cleveland, Ohio; Farr Alpaca Company, Holyoke, Mass.; 
Edison Electric Illuminating Company, Brooklyn, N. Y. ; Ballard and Ballard 
Company, Louisville, Ky. ; Wayne Knitting Mills, Fort Wayne, Ind.; Studebaker 
Corporation, South Bend, Ind.; Jacob Dold Packing Company, Buffalo, N. Y. ; 
National Carbon Company, Cleveland, Ohio; E. I. Du Pont de Nemours & Company, 
Wilmington, Del.; Cleveland Twist Drill Company, Cleveland, Ohio; Ford MotQC 
Company, Detroit, Mich. 



FINANCIAL AIDS — PROFIT-SHARING, ETC. 3 8 9 

Summary 

As will be seen by the examples just given, there can 
be no blanket plan of profit-sharing for all concerns. Plans 
and methods in this field depend upon the nature of the con- 
cerns entering into it and upon the individual desires and 
experiences of employers. Each plant must work out its own 
individual method. The portion of profits to be divided must 
be large enough to give to each participant an amount suffi- 
cient to secure his hearty interest in it. Distribution must 
be made frequently enough so that there may be no cases of 
long-deferred payment, since the employee looks upon his 
share of the profit as a legitimate part of his pay when once 
the system has been adopted. The longest period for profit 
division, and the one now most common in the American 
industry, is one year. 

Philanthropy must not be a part of the system, although 
philanthropic employers were the first to adopt it in this 
country. Profit-sharing must stand upon its merits as good 
business. It must possess actual economic advantage for em- 
ployer and worker. Otherwise, it is bound to fail. The 
proportion of profit which the worker is to receive must be 
definite in its statement of rate or percentage and made clear 
as such to the employee. Profit-sharing implies an educa- 
tional campaign among a body of workers, which, rightly 
carried out, tends to make the worker more intelligent and 
more interested in his concern. Finally, profit-sharing as a 
means of promoting labor stability must rest upon sound em- 
ployment methods. 



CHAPTER XXVI 

LINKING UP WITH THE COMMUNITY 

The Community Idea 

The community idea means the extension of educational 
and social opportunities to those who are beyond school at- 
tendance. Only 10 per cent of our adult citizens have had 
a high school education, and only 50 per cent have completed 
the grammar school. It is clear, then, that one of our greatest 
national needs, if not the greatest, is continued education and 
opportunity throughout the years of employment. The com- 
munity center, in which community activities for the public 
welfare may be brought together, provides a partial solution, 
at least. The community center movement is based upon the 
fact that education is a lifelong process. Further, the greatest 
good of each member of society is the concern of all society. 
Community service may be called common interest work. It 
aims at the preservation of health, prosperity, and happiness 
of all persons. It begins in the home and shop and concerns 
itself with improved sanitation, better housing, better streets, 
better parks and playgrounds, and with every movement for 
the general good of the community. 

The Obligation of the Employer 

What, then, so deeply concerns the public at large must 
be of supreme importance to the world of industry. Those 
who are illiterate, those who lack opportunity, and those who 
may have but little incentive and encouragement, are found 
in almost every employment. The employer has, accord- 
ingly, a very high duty, to co-operate with every movement 

390 



LINKING UP WITH THE COMMUNITY 39 1 

for community benefit. This involves more than con- 
tributing financial support to local activities. The em- 
ployer or corporation may work through officials and em- 
ployees in his co-operation with community service. He may, 
indeed, employ a special expert to represent him in his share 
of community service. 

Kinds of Industrial Communities 

There are two kinds of industrial communities: one estab- 
lished and practically owned by a corporation or local industry, 
and the other the ordinary town or city community in which 
an industry has grown up. Examples of the first kind are 
Gary, Indiana, and the shipyard towns — entire communities 
with every necessary facility — recently constructed by the 
national government. In such communities, industry naturally 
guides activities for the public welfare. It may, of course, 
secure help and co-operation from outside sources. The ques- 
tion becomes one mainly of what shall be done. On the other 
hand, an industry planted in an old community must assume 
its part in community activities. 

Community Organization 

The first step in the undertaking of linking up with the 
community is a recognition of the nature of the problem. 
Those who have the launching of organization for community 
service must study carefully into the community's history and 
activities. They should know what has been done in cities 
and towns throughout this country and in other countries. 
The second step should be a determination of the boundaries 
of the locality to be served. An industrial plant that owns 
a town or determines its activities will have its local boundaries 
already made clear. A plant which co-operates with other 
agencies in community activities is likely to interest itself 
as widely as the homes of its employees are scattered. The 



39 2 LABOR MAINTENANCE 

third step in organization, from the standpoint of an industrial 
concern, is to determine what agencies and individuals may 
be called in to assist or join in co-operation. When these 
basic kinds of information are established — the nature of the 
work to be done, the area to be served, and the co-workers 
in service — then definite steps for a formal organization may 
take place. Primary meetings may be "held for the benefit 
of those who are to share in the work. With formal organiza- 
tions a constitution is usually adopted defining the purposes 
and methods of the undertaking. The usual officers of com- 
mittees are appointed. 

The Community Secretary 

The executive officer is usually called the community secre- 
tary. He is chosen by ballot by the entire organization, as 
his function is recognized to be the most important function 
in community activity. His is a new profession. He must 
have all the training of the schools and practical experience 
in social and civic work. There may be a number of com- 
munity secretaries for an organization whose territory is so 
large that it must be cared for in divisions. 

Frequently when community activity calls for considerable 
physical development in a town, such as the laying out of 
streets and parks, the proper arrangement of new buildings 
for public use or private dwelling, and sanitation, an expert 
engineer, town- or city-planner, or landscape architect may 
be employed for a shorter or longer time. Here again our 
subject verges into housing. 

The Civic Center 

The community or civic center, that is to say the place 
of meeting (for the meeting must ever be the prelude to any 
community activity), is more often a school building than 



LINKING UP WITH THE COMMUNITY 393 

a building of any other kind. The school is the natural meet- 
ing place of old and young. It is usually free from political 
or sectarian influences. In it people may meet in common 
interests and with united endeavor to carry out all that is 
embodied in the modern community idea. 

The primary objects of organization, as was pointed out 
at the beginning of this chapter, are the promotion of educa- 
tional opportunity and social benefit. The kinds of activity 
the organization is to maintain have been indicated. There 
may be subsidiary or associate bodies in the work or forms 
of work, such as the home and school league, the local agricul- 
tural association, and the community forum. 



An Example of Community Building and Improvement 

The United States Steel Corporation has accomplished so 
much in community service in recent years that it seems well 
to present some of its work at this point. There are two 
general types of the new Steel Corporation towns. The first 
type is that of the towns which are created to serve only 
a temporary function, such as may be found at some of 
the coal and iron mines. These towns are little more than 
camps. In such places the Steel Corporation assumes all the 
responsibilities of government and general welfare. The 
second and higher type of Steel Corporation town is that 
in which permanency is expected. In these towns the most 
modern living conditions are provided and future betterment 
is planned for. The corporation does not attempt to dominate 
the whole enterprise, and a new town quickly assumes a 
character of its own. .It chooses its own administrative officers, 
and conducts its affairs according to the wishes of the ma- 
jority of the citizens. The community idea, however, develops 
more rapidly and effectively in such towns than in most of 
our older, conservative, industrial communities. 



394 LABOR MAINTENANCE 

Two Examples of Steel Corporation Towns 

Gary, Indiana, and Fairfield, Alabama, are the most strik- 
ing examples of what the Steel Corporation has accomplished 
in recent years in the creation of industrial communities. 
Gary was planned and built by the Gary Land Company, a 
subsidiary company of the Steel Corporation. Fairfield was 
developed in co-operation with the Steel Corporation by a 
private corporation, the Gemison Real Estate and Insurance 
Company, of Birmingham, Alabama. In these enterprises, 
as in others of a similar nature, two purposes are paramount 
— to provide good housing, and to establish the idea of civic 
unity, as will appear in the following paragraphs from an 
article by C. J. Stark, associate editor of the Iron Trade 
Review: 

Fairfield is the latest and probably best example of city- 
building from a Steel Corporation standpoint. It surpasses 
even Gary in the extent of its public works and in the 
general provision for the workman of modest income. It 
represents another step forward in the approach toward the 
perfect mill community. The lessons gained from Gary 
and other steel towns have been utilized to good purpose 
in the newer city. 

The new city of Fairfield lies southwest of Birmingham 
and between that city and Bessemer. It is 6 miles from the 
center of Birmingham, 6*^ miles from Bessemer, and I mile 
from Ensley. It adjoins a tract of more than 2,000 acres 
of land acquired by the Steel Corporation several years ago 
for the future development of its southern resources. The 
town site is served by four southern trunk lines : the Bir- 
mingham Southern, the Southern, the Louisville and Nash- 
ville, and the 'Frisco system. Its topography is favorable to 
the development of attractive residential surroundings. On 
a portion of the site are wooded hills which have contributed 
much toward the landscape beauty of the town. The manu- 
facturing units of the Steel Corporation recently completed 
or now under construction, are the plants of the American 
Steel and Wire Company, to cost $4,000,000, and a by-product 



LINKING UP WITH THE COMMUNITY 395 

coke plant of the Tennessee Coal, Iron and Railroad Com- 
pany, of an estimated cost of $3,500,000. These works are 
so located that they directly face Fairfield. . . . 

The town of Fairfield has been laid out and planned with 
minute attention to every feature of importance in a modern 
city, where workmen are to make up the great portion of 
its population. The scheme of the town revolves about a 
central park area, where are located a civic center, the plaza, 
and the park. About the civic center are being grouped in 
a quadrangle, with an open parade within, the public build- 
ings of the town, all of which, it is provided, will harmonize 
architecturally. These public buildings include a town hall, 
library, Y. M. C. A., public bath, and a training school. 
The civic group is approached by a wide plaza, which is 
flanked by business buildings. These structures conform in 
style to those of the civic group. The plaza is 247 feet long 
by 150 feet wide and is paralleled by two business streets, 
which run from Gary Avenue, the principal business thor- 
oughfare, to Carnegie Avenue and the civic center. Gary 
Avenue passes through the town to an entrance to the Ameri- 
can Steel and Wire Company's plant. Near the center of 
the town, a second important business thoroughfare, Craw- 
ford Street, intersects with it. Crawford Street leads to the 
main entrance of the coke plant of the Tennessee Coal, Iron 
and Railroad Company, and to the plant of the Harbison- 
Walker Refractories Company. The junction of these two 
streets forms the business center of the town. The park 
area about the civic center will be developed as the town 
grows, and requires more recreative space. There has been 
established or provisions made in this section for wading- 
pools, athletic fields, outdoor gymnasium, and other open- 
air pastimes. 

The Four Bases of Community Welfare 

The National Cash Register Company bases its community 
activities upon the following four fundamental principles: 

1. Neighborhood improvement increases the value of 
property. 



39^ LABOR MAINTENANCE 

2. The whole community benefits by what is done in one 

section. 

3. The employee who is happy at his work is naturally 

interested in the well-being of the community. He, 
therefore, takes an interest in civic affairs. 

4. What one factory does for its employees affects the 

community, because these same thoughts are carried 
from the factory to neighborhood meetings. 

The Hills and Dales Club, a community club, conducted 
by this company, is open to anyone living in Dayton or vicinity. 
The membership dues are $1 a year. Camps located in Hills 
and Dales Park, are attractively fitted out, and are used by 
large numbers annually. 

Community Festivals and Mutual Enterprises 

Among the activities in which industry may co-operate 
with the community are public festivals, celebrations, and 
enterprises for the common good. Agricultural fairs in rural 
districts are among the best known means of community 
expression. In all cases where such a fair is held we find 
industrial establishments co-operating with local committees 
and agricultural leaders in the management of the fair, and 
contributing to its support by taking advertising space in its 
circulars, and by exhibiting articles of manufacture. The 
celebration of the Fourth of July throughout the country owes 
its success largely to industry and community co-operation. 
Other local celebrations often succeed best under the same 
conditions. The opening of a new athletic field in a town 
or city is usually made an occasion for a general celebration. 
When such an observance does not come upon a public holiday, 
industrial plants usually shut down for the day or half -day, 
so that their workers may join in the activities and pleasures 
of the public event. It is well known that in the countries 



LINKING UP WITH THE COMMUNITY 397 

of the old world the celebration of the religious and public 
holidays has become a serious detriment to industrial produc- 
tion. We have not yet reached that stage, however, in 
America. 

Strictly Community Festivals 

Frequently a concern conducts a rally day or field day, 
planned to develop company spirit and enjoyment. At such 
times athletic contests and other events in which many persons 
take part are provided. Prizes are offered by the company, 
and the event usually comes to have all the interest and sig- 
nificance of an annual celebration. 

Folk Festival of Norton Grinding Company 

Among the most conspicuous of recent community activi- 
ties are folk festivals and pageants. The folk festival is a 
celebration in which the usual activities of business and indus- 
try are put aside and young and old join in a program of 
pleasure. In a small town the festival usually includes all 
the people who can join in it; and in the large town or city 
such a portion of the people as have common interests and 
associations, as for instance the employees of a large concern, 
with their families. An excellent example of a folk festival 
is that conducted by the Norton Grinding Company of Wor- 
cester, Massachusetts. One of these has been described in 
the Norton Spirit, a plant magazine of the company : 

It is not necessary to tell those who were with us last 
year what a Norton Folk Fest is like. It is one round of 
social enjoyment and interesting excitement lasting an entire 
afternoon. It is a' day for the girls and boys, as well as 
their fathers and mothers, and the man who forgets or 
neglects to invite every member of the family to this year's 
Folk Fest ought to be subjected to severe punishment to 
suit the occasion. This is a Norton family day and each 
member of every Norton family is invited and welcome. 



39 8 LABOR MAINTENANCE 

A large committee is at work making plans for the after- 
noon. The big stunt, as in past years, will be the Folk 
Fest parade. In all probability the parade this year will be 
larger and fully as interesting as last year. It will form 
at 2:15 o'clock on New Bond Street. At the head of the 
parade will be our general manager, Charles L. Allen, as 
Chief Marshal ; and inasmuch as J. C. Spence of Norton 
Grinding Company, is again the organizer and manager of 
the parade, we are assured of a spectacular pageant with 
many stunts, clownish performances, and plenty of noise. 

The parade will disband on the baseball field where the 
entire crowd will be entertained for an hour or more. Not 
the least interesting part of the entertainment will be a 
delightful band concert by The American Band of Provi- 
dence, formerly Reeves Band — an organization of 40 musi- 
cians that is considered one of the best in the East. 

While the entire program cannot be revealed at this time, 
it is certain that there will be a horse show and we know 
we are to be entertained with a performance and concert 
by the Norton clowns and the famous Whetstone Band led 
by Si Pikestone, the better known as Tom Marshall. 

After the concert all visitors are extended a cordial 
invitation to visit Indian Hill Village. Some of the attrac- 
tive Indian Hill houses will be open for inspection and 
possibly especially furnished for the occasion. 

There will be ice-cream and soft-drink stands at different 
points on the hill, as well as on the baseball field. 

The entertainment is to close with a grand display of 
daylight fireworks. The program, arranged especially for 
the occasion by the International Fireworks Company, of 
Jersey City, New Jersey, consists of more than 40 pieces, 
great bomb shells which make terrific reports and release 
various objects in the air. Reference to the program shows 
that not only will there be a grand salute to the American 
flag and such objects as Japanese umbrellas, floating fish, 
flocks of birds, but the children will recognize in the air 
their old friends Mutt and Jeff, Happy Hooligan, and the 
Merry Widow. There will be floating elephants, racing 
boats, pigeons, Uncle Sam, aerial band, balloons and confetti, 
and the American Eagle; and exhibition of the national 



LINKING UP WITH THE COMMUNITY 399 

colors, floating serpents, aeroplanes, dogs, and other animals. 
This is only a hint as to what the full program of the 
display contains. 

A dance platform will be located at the corner of Indian 
Hill and Ponken Roads, where ex-President Roosevelt 
planted the oak tree on September I, the spot now known as 
Roosevelt Place. 

The exhibition of garden products and flowers will be of 
more interest this year than ever before. The Agricultural 
Fair is to be held in the New General Department Building 
near the baseball field. The building is just being completed 
and all visitors to the Folk Fest will enjoy inspecting this 
building, even though they might not be interested in the 
fair. Don't fail to visit the exhibit before you leave the 
vicinity of the baseball field. 

Pageant of Merchant Shipbuilding Company 

The Merchant Shipbuilding. Corporation of Harriman, 
Pennsylvania, on Labor Day, 191 8, conducted an elaborate 
pageant of employees Who represented twenty-six nationalities. 
The affair was called a "Pageant of Nations" and over 9,000 
took part. Part of the program consisted of a cable from 
the participants to General Pershing pledging their best effort 
in helping him defeat our enemies. The cablegram read: 

Shipworkers of Merchant Plant, Harriman, representing 
twenty-six nationalities, by a united pageant on this signifi- 
cant day, pledge to you sixteen ships this year, and our 
devotion to our common cause until victory is assured. 

Other features of the program were the dedication of two 
new buildings — the Y. M. C. A. and the Service Building. 

Minor Community Activities 

There are numerous smaller activities in community service 
in which industrial establishments generally take part. These 
relate to the home, school, church, settlement house, play- 



4°o LABOR MAINTENANCE 

ground, and other interests of general concern. Connected 
with the home life are.the planting of gardens, vegetables, and 
flowers, the care of lawns, the canning of fruits, the teaching 
of household arts, and similar duties, all of which may be 
encouraged in the home and taught in the community center. 

Gardening 

The planting of war gardens has given a great impetus 
to gardening, which results in increased production in town 
and village, new habits of industry and economy, and added 
health and enjoyment of outdoor life among workers. In 
many cases manufacturing concerns have provided plots of 
land for free use by employers, with all needed help and advice. 

The United States Steel Corporation, whose plants are 
situated in extensive country districts, has been especially 
generous in this respect. One of its subsidiary companies, 
the H. C. Frick Coke Company, may be taken as an example. 
The following information relative to gardening prizes, etc., 
for the year 191 4, gives a good idea of the interest the em- 
ployees of the H. C. Frick Coke Company are taking in plant- 
ing gardens: 

Cultivated or growing vegetable and flower gardens 6,923 

Lots sown in grass and oats 43 

Lots where tenants have changed during year 20 

Lots converted into chicken yards, tenants sick, etc 27 

Indifferent tenants (not desiring gardens) 87 

Vacant property 183 

Total lots available for cultivation 7^83 

Percentage cultivated 95 

Number tenants whose lots are not fenced 149 

Total tenants 7A77 

Percentage of tenants raising gardens 92 

The awarding of prizes was begun during the season of 
iqio and the following season the company began to issue 



LINKING UP WITH THE COMMUNITY 4 QI 

certificates in connection with the prizes. At all plants having 
300 ovens or more, three prizes of $10, $5, and $3 are awarded 
for best vegetable gardens, and three prizes of $5, $3, and $1 
for the best flower gardens. At plants having less than 3 
ovens, two prizes each of $6 and $3 for vegetables, and $4 
and $2 for flower gardens are awarded, $1,277.25 being ex- 
pended in prizes for the year 19 14. 

The superintendent at each plant selects three judges as 
a committee to inspect the gardens each year, these judges 
being neighboring farmers or business people. 

Playgrounds and Kindergartens 

The playgrounds provided by the United States Steel Cor- 
poration for children in the communities in which the sub- 
sidiary companies are located are an important part of the 
community service of this corporation. There are over 137 
such playgrounds. In most cases the company's unused land 
is utilized for the purpose and the equipment and the labor 
in putting the ground in shape are provided by the company. 
The grounds are placed in the hands of capable instructors 
who are paid by the company. At some of the playgrounds 
instruction is provided in sewing, basketry, and handicraft. 
At night, parents and children are invited to see motion pic- 
tures. The daily average attendance in the summer is around 
18,000. It is not difficult to see what a good influence on 
the children such opportunity offers and experience has borne 
this out. 

Kindergartens have been an important work of Joseph 
Bancroft and Sons Company, Wilmington, Delaware, one of 
the oldest bleaching and dyeing establishments in the country, 
in their villages of Rockford and Kentmere. The Rockford 
Kindergarten was opened in 1890 and has been in charge 
of an experienced leader. The Kentmere Kindergarten was 
started in 1896. 



402 LABOR MAINTENANCE 

Education 

Industry may do much with educational work in a com- 
munity, in connection with the public school or civic center. 
It may advise in courses of study for adults as well as for 
youths, provide and train vocational teachers, and aid in super- 
vising industrial classes. The»industry may provide the labora- 
tory for the industrial student, as is so frequently the case 
in part-time education. 

Building Citizens 

Industry may be especially serviceable in training for 
citizenship. The example of the National Cash Register Com- 
pany is especially inspiring. 

One of the most interesting features of the service work 
carried on by this company is among the children of the 
city. The way so-called bad boys of Dayton were converted 
to good citizenship by the "N. C. R." would make an in- 
teresting story. 

John H. Patterson, president of the company, long ago 
realized that it was necessary to have a firm foundation for 
any permanent good. As the boy is said to be the father 
of the man, so the efforts of this great organization were 
directed toward the youngsters of the community, as well as 
toward their elders, in a campaign for good citizenship. 

The boys and girls of Dayton are being instructed in the 
things that are worth while. Boys' gardens, girls' gardens, 
community playgrounds, and the boys' box furniture company 
are but a few of the steps. 

One of the most effective methods of developing the 
minds of the young and preparing them for future good 
citizenship, has been found through the medium of enter- 
tainments which are both educational and interesting. These 
entertainments are held each Saturday morning in the N. C. R. 
Schoolhouse and at the N. C. R. City Club. 



LINKING UP WITH THE COMMUNITY 4°3 

All the boys and girls in Dayton are invited to come to 
these meetings, which are free to everybody. The program 
usually starts with the singing of illustrated patriotic songs 
by the boys and girls. Then the company physician, Dr. F. 
G. Barr, gives a short talk on health, presenting his subject 
in such a way that the children will understand and appreciate 
it. Stereopticon views help bring home forceful points. At 
times other speakers talk to the youngsters on matters of 
common good, which will benefit, and at the same time interest 
them. A statement from the company continues : 

After this, educational and entertaining moving pictures 
are shown. The doings of the screen actors make the chil- 
dren tremendously happy, and it is a treat to see those beam- 
ing little faces and hear their joyous laughter. Following 
the pictures is the chief event of the morning when refresh- 
ments are served to the hundreds of little guests. The at- 
tendance of the two meetings is usually about 1,000. The 
time of the meetings is arranged so that one speaker can 
talk to both audiences the same morning. The meetings last 
about two hours. 

It should hardly be necessary to say that these meetings 
are very popular with the boys and girls, as well as with 
their parents. The children receive the right kind of 
knowledge, presented in an attractive manner. The com- 
munity gains valuable citizens and greater force for right 
and justice. 

Athletics 

In many industrial plants athletic teams are organized, 
often becoming members of local leagues. The fact that such 
activities are conducted in the name of the company and under 
the incentive of company spirit tends to raise the tone of 
athletics among those who participate. The worth of this 
kind of employee activity has already been discussed in a 
previous chapter. 



404 LABOR MAINTENANCE 

Community Singing 

One of the most valuable results of the world war has 
been community singing, in which industrial concerns are 
taking a leading part. Community singing and orchestral 
work by the employees in mercantile and industrial plants are 
spreading throughout the land. "Welcome Home" events for 
the service men and the national week of song, so widely 
observed, were in many places the occasion for inaugurating 
the movement. The much talked of song exercises in the 
Philadelphia shipyards and in meat-packing plants in Chicago, 
which were organized under the stress of the war, and which 
proved so valuable in keeping morale and efficiency up to 
pitch, have since been reproduced in scores of towns and 
cities in times of peace. It is estimated that there are at 
present more than 1,000 such industrial musical organizations 
in the United States. 

A Development of the Community Idea 

The recent development of the community idea in the fac- 
tory town of Walpole, Massachusetts, is an excellent example 
of what may be accomplished by united effort and organization 
in an industrial locality. The Walpole Town Planning Com- 
mittee issued a report upon its work in a volume entitled 
"Town Planning for Small Communities," in 191 7. We can- 
not better close this chapter than by quoting from this report 
in the following paragraphs: 

As civilization is slowly equalizing conditions in the countries 
throughout the world, the necessity of healthy community develop- 
ment, for national strength and security, is steadily becoming estab- 
lished as a national concern of the utmost importance. It is being 
realized that the community is the nation's foundation, and that the 
strength and greatness of a nation is dependent upon the united 
character of the separate communities upon which it is built. . . . 

First, what we want in the state we must start in the schools. 



LINKING UP WITH THE COMMUNITY 4°5 

The times demand that our educational system should be changed. 
We need to educate not only the intellect of children, but also their 
heart and soul and body. We need to teach the principles of self- 
government, to awaken the sense of civic responsibilities and citizenship 
alive to the obligation to service, necessary for community strength 
and progress, and continued national security. Patriotism begins 
at home. . . . 

Second, we need community organization. Municipal research 
bureaus, civic leagues, boards of trade, and similar organizations have 
been an important factor in community development ; but no organiza- 
tion which includes only one group of citizens is a complete com- 
munity organization. What we need is a democratic federation of 
community forces, including in its plan not only the organizations 
of men, but of the women of the community. . . . 

This committee was appointed by vote of the citizens of Walpole 
in March, 1913, with instructions to study the condition and needs 
of the town, and report as to what should be done to advance town 
interests. Our first step was to consult with the officers and com- 
mittees of the town for the purpose of securing all available ideas 
and suggestions that would be of value to us in outlining our work. 

The second step was to engage the services of Mr. John Nolen 
to prepare development plans and to make a report to the town. 

The plans which were prepared by Mr. Nolen, covering the 
development of town lands, were submitted to the administrative 
officers of the town, and, upon approval, were placed on file in the 
office of the selectmen. 

In the spring of 1914, a bulletin was prepared and a copy 
presented to each citizen in town as a preliminary report of the 
committee. 

At the annual town meeting, March 14, 1914, the general plan 
upon which we have based our recommendations for physical develop- 
ment was accepted by the citizens as the official town plan to be 
followed as a guide in all future development. 

At this same meeting the following article was passed: 

"That the voters of the town instruct the selectmen to 
refer to the Town Planning Committee for approval or dis- 
approval all plans for the location, erection, or alteration of 
public buildings in town and all plans for the laying out of 
new streets or alterations in widths, grades or extensions 



406 LABOR MAINTENANCE 

of existing streets, and instruct the selectmen, when any 
plans are disapproved by the Town Planning Committee, to 
refer said plans to the voters for action at a town meeting 
before executing such plans." 

In 19 14, this committee presented to the Street Committee of 
the town a definite suggestion that an engineer be engaged to make 
a detailed study of the roads and ways in town with a view to 
determining future development. This suggestion was adopted and 
the report of the engineer was included in the annual report of the 
Street Committee. . . . 

The Walpole Town Planning Committee, in its relation to the 
administration of town affairs, enjoys neither executive nor adminis- 
trative authority. It is created to serve as an advisory committee 
in all matters having to do with future town needs. As town 
officers and committees are necessarily occupied with immediate 
administrative work, it is impossible for them to give sufficient time 
to adequate planning for the future growth of the town. It is this 
function of planning which the Town Planning Committee exercises. 

All plans prepared by the Town Planning Committee must be 
submitted to the town authorities for approval; but, by vote of the 
town, no action can be taken that would vitally affect the future 
development of the town, before referring such proposed action to 
this committee. 

In 1913, the Massachusetts Homestead Commission secured the 
passage of the following act: 

"Every city of the Commonwealth, and every town hav- 
ing a population of more than 10,000 at the last preceding 
national or state census, is hereby authorized and directed 
to create a board, to be known as the planning board, 
whose duty it shall be to make careful studies of the 
resources, possibilities, and needs of the city or town, 
particularly with respect to conditions which may be in- 
jurious to the public health or otherwise injurious in and 
about dwellings, and to make plans for the development of 
the municipality with special reference to the proper housing 
of its people. In cities the said shall be appointed by the 
mayor, subject to confirmation by the council, and in cities 
under the commission form of government, so called, the 



LINKING UP WITH THE COMMUNITY 4°7 

members of the board shall be appointed by the governing 
body of the city. In towns, the members of the board shall 
be elected by the voters at the annual town meeting. . . ." 

A community organization is the vital force that will prevent 
a town, as it grows, from becoming ugly and unhealthy. A reason- 
ably safe and social program, consistently carried on from year 
to year, will accomplish wonderful results. It is expected that the 
Walpole Community Federation will be an effective force in com- 
munity building. . . . 

The Town Planning Committee is responsible for the plan for 
the future needs of the town. The Community Federation should 
be responsible for outlining the town program of action. 

This committee is ready at any time to meet any citizen wishing 
information upon town planning, or discuss any details of the work 
of the committee. It is eager to receive suggestions from anyone 
regarding town needs. 

In our annual report to the town we recommend that six specific 
tasks be accomplished this year: 

1. Establish the width of Washington Street and Main Street 

and establish widths and grades on other streets. 

2. Make additional appropriation to continue work of street 

survey. 

3. Take up the gradual development of the park at the center 

with a view to its complete development at the end of ten 
years. 

4. Establish a town forest. An appropriation should be made 

to enable the town to take advantage of offer of land for 
site. Plans for development have been prepared. 

5. Begin development of civic center. 

6. Organize a co-operative real estate association. Committee 

of the board of trade has this matter under consideration 
and should push plans for organization. 

Already much has been done toward carrying out these recom- 
mendations. It is hoped that they may be completed before the 
end of the year. 

As a specific program for the ensuing year, we believe that 
something should be done toward carrying out each item in the 
following program. 



408 LABOR MAINTENANCE 

I. Prepare district plan showing industrial, commercial, and resi- 
dential sections to prevent haphazard development, and out- 
line a program to stimulate material growth. 

2. Get one new industry for Walpole. 

3. Bring about some good housing development under the direc- 

tion of the Co-operative Real Estate Association. 

4. Equip playgrounds and establish playground instruction as 

part of educational system. 

5. Adopt model charter for new form of government. 

6. Carry out annual program of street development and de- 

finitely establish width and building lines of required number 
of streets to carry out this program. 

7. Especially establish 60-foot width on Washington Street 

through East Walpole Center. 

8. Start movement toward advancing agricultural interests of 

the town, assisted by the Norfolk County Agricultural 
School, which, largely through the efforts of the board of 
trade, is to be located in Walpole. 

Community 

Accomplished in whole, or in part 

1. Agreement on the part of the directors of the Improvement 

Federation to need for reorganization of present Improve- 
ment Federation to community organizati'on. 

2. Published bulletin: "Walpole Plan Today for Tomorrow." 

3. Acceptance of town plan. 

4. Organized 1920 Better Walpole Campaign under Federation. 

5. Publish preliminary report on town manager form of govern- 

ment. 

6. Organization of Choral Society under Federation. 

7. Appointment of Pageant Committee to consider yearly town 

entertainment, under Federation. 

8. Assistance to Boy Scout organization. 

9. System of exercises, planting of first acre of town forest 

by children of the town. 

Recommendations 

1. Establish town Federation and community organization along 
suggestions included in last chapter of this report. 



LINKING UP WITH THE COMMUNITY 4°9 

2. Establish community house. 

3. Make wider use of school buildings. 

4. Make industrial survey. 

5. Make social survey. 

6. Promote co-operative societies. 

7. Establish trade center. 

8. Develop rural activities. 

9. Develop truck farming. 

10. Develop intensive farming. 

11. Establish packing and canning industry. 

12. Accept law providing for agricultural school in Norfolk 

County. 

13. Establish town orchestra. 

14. Establish annual festival day. 

15. Promote clean amusement enterprise, motion picture, etc. 

16. Install gymnasium apparatus in schools. 

17. Start playground organization under school department. 

18. Promote folk dancing and play picnics. 

19. Individuals donate use of land for gardens. 

20. Secure filter beds and install sewer system. 

21. Co-operate with the state board of health. 

22. Establish milk regulations. 

23. Extend school inspection. 

24. Combine duties of school nurse and supervisor of attendance 

and appoint competent person. 

25. Extend visiting nurse service. 

26. Establish dental clinic. 

27. Improve sanitary inspection. 

28. Develop residential growth of the town. 

29. Make housing survey. 

30. Encourage co-partnership housing plans. 

31. Enforce building regulations. 



APPENDIX A 

FORM OF RECORDING LABOR TURNOVER 1 
Measuring the Stability of the Working Force 

Getting at the Basic Factors 

Employment managers and others engaged in the work 
are still finding difficulty in arriving at a standard practice 
whereby they can measure the stability of labor in particular 
plants, so that the results may be comparable with those of 
other concerns. 

There is a difference of opinion about the factors that 
should be considered in computing the percentage of labor 
turnover. While there is some agreement as to the formula 
to be used in arriving at this percentage, much discussion 
centers around such questions as whether computation should 
be made on the basis of new workers hired, or upon the 
number of terminations from employment. Attempt at a 
workable formula has brought forth theories which have only 
served to befog the issues. 

Lack of a simple terminology has also added to the con- 
fusion. When use is made of such terms as "Hires," "Hir- 
ings," "Leavings," "Quits," "Firings" — when charts are made 
so complicated that only the expert who created them can 
explain them — it is no wonder that many an executive has 
shown his impatience with efforts to make a mystery of a 
simple proposition. The problem is not an academic one to 
be solved by researches in the field of higher mathematics. 



»See Chapter I. 

410 



FORM OF RECORDING LABOR TURNOVER 4* I 

What those who shape the labor policies of a concern 
want to know is the facts, and they want a simple, practical, 
easily understood method of getting those facts, presented 
in the simplest possible form. They want a method which 
enables them to compare their facts with those of executives 
in other plants, so that when percentages or other figures are 
discussed all will know that the results are arrived at in the 
same way in each case. 



Some Basic Factors 

Now what are some of the basic factors in the measure- 
ment of labor stability? Labor turnover is the condition in 
industry represented by the engagement, loss, and replace- 
ment of workers. It represents the leakage or waste of man- 
power in terms of shifts in the working force. 

A high turnover indicates several things. It may mean 
that the conditions of employment are unsatisfactory, that 
the management is inefficient, that the methods of the manage- 
ment are wrong, that insufficient attention is being given to 
the human factors which govern the relations between the 
management and the workers (see Chapter XXI), that workers 
are not carefully selected, that they are not properly placed, 
that no incentives toward the best effort of the workers are 
offered, that man-power is being wasted. 

There may be other causes for a high turnover of labor 
beyond the control of the management; but careful analysis 
of its labor losses by a concern will readily show where the 
trouble lies. It is important that accurate records of changes 
in personnel should be kept. Each worker who terminates 
his employment should be interviewed to learn why he leaves, 
if he leaves of his own accord. It has been the general ex- 
perience of industrial plants throughout this country that it 
is much easier to control the conditions of discharge of workers 



4 12 APPENDIX 

so that their number may be reduced than it is to control the 
voluntary termination of employment. 

Means for Recording Turnover 

The author has devised a special form for recording in- 
formation as to the stability of labor and making the results 
easily available. (See Fgure 28.) Those who wish to use 
this form or to arrange one themselves will find the following 
explanation of the terms helpful: 

In the following explanation, the numbers used correspond to 
the numbers of the columns on the blank. The terms used at the 
head of columns 1 to 12 are self-explanatory. The term "Wages'* 
(13) will include resignations owing to inadequate wages, failure 
to adjust rates to the satisfaction of the worker, deductions for lost 
time which often result in a worker losing his interest in the job, 
failure to pay wages promised, or other reasons of this nature. 

"Better Job Elsewhere" (14) will include such reasons as more 
opportunity for advancement or promotion, finding another Job more 
suited to the training or experience of the employee, possible better 
treatment in a new job by superiors or fellow-workers. 

"Housing Conditions" (15) may mean inadequate housing accom- 
modations, rents that are too high ; poor condition of company houses 
if such are used by the employees, or that the employee lives too 
far from his work. 

"Industrial Accidents" (16) includes accidents occurring in the 
course of employment. Often workers will leave because they are 
under the impression that there are too many accidents in the plant 
and nothing can convince them that they are wrong. 

"Work Conditions" (17) will include unsanitary toilet conditions, 
inadequate washroom facilities, dangerous conditions around the 
plant, poor drinking water, inadequate tools, work that is too heavy; 
work that is dangerous to health, inadequate protection from weather, 
or where the employee is exposed too much to bad weather conditions. 

Columns 18, 19, 20 are left blank for entering reasons for resigna- 
tion peculiar to the concern or for other special reasons. 

"Reason Unascertained" (21) will cover those who are auto- 
matically dropped for prolonged absence, where there was no inter- 



FORM OF RECORDING LABOR TURNOVER 4 l 3 



LABOR STABILITY REPORT 

Plant Summary 



Month , 

Name of Firm , .. , 

Total Number of Employees 1st of month . . r . Male Female . 

" end of " „ Male Female 

Net Increase or Decrease ? _ „ or — % 

Labor Turnover % 

Turnover previous month . . . % 

ENTRANCES Male Female 

1 — Employed „.». ........ 1 1 

2 r- Re-employed «•...... . | 



Total. 

TRANSFERS 

1 — Promoted .«..«..«« I. 

2 — Another trial *...,.... I 



TERMINATIONS 

1 — Resignations (voluntary) 
2 — Discharges » . 

8 — Lay-offs 
4 — Unavoidable 



Total, 



EXPLANATION 

LABOR TURNOVER is the condition in industry represented by the engagement, loss, and replacement of 
workers. It represents the leakage or waste of man power and is a fair index of the efficiency of management 
methods and conditions of employment. 

FORMULA FOR COMPUTING LABOR TURNOVER 

T = Turnover; A = Average* number actually at work daily for period computed; L=Loss; M = Trans- 



fers from department to department; U = Unavoidable losses (death, disease, etc.) 

The following formola Is recommended br U. 8. Dent, of Labor 
and National Employment Manarer*' Conference. Rochester. 
N.Y., 1918. 

L 

A 
WHEN INCREASING THE FORCE = Snb tract the increase from the number hired during the period. This will give 

the amount of loss or value of L. Then use the formula. 
WHEN DECREASING THE FORCE = Add the number represented by the decrease to the number hired during the 

period to obtain the number leaving or value of L. Then use the formula. 



For the Plant L— (M+U 

A 
For a Department t L — U _ 



T-T 



•Th* ..Yen** ibonJd be obtained bj addio* the da 
fcverare. br tak.Dr tte daiij total* of work 
the moniblj fifur* by 12, or tbe week); Bnn 



T?r%Mten ihcmlH be I 



Figure 28. (a) Form for Recording Labor Turnover (first page) 
(Size 8 5 /i« x 10V4.) 



414 



APPENDIX 



If il t» deslrrd to obUla * dtvllj tomoTer record for a particu 
It it aucsested that »U totals be written in red ink souw 

ENTRANCES 


»r df Pftrttnent this a beet can b* 

^ a ^%&2X?§22£. LABOR TURNOVER B\ 


DKPARTMSNT 


KEW WORKERS 
1 2 3 


RK-EMPLOYED 
4 5 « 


7 8 9 


SUMMARY OK 
TERMINATIONS 
10 11 12 


RESIGNATIONS 
13 H IS 1« 17 18 19 10 SI 




c 

1 


5 
2 

a 

s 


5 

3 


J 

5 



| 

2 

5 




1 

z 
s 


a 
1 

3 

s 


>> 

H 

X 

1 

3 


3 

M 




B 

3 

2 

5 
8 


3 

i 

3 


3 

o 

* 


o 9 

Z x 
Si 

£9 


§1 

p 


1 

3 < 


2 

II 








i 

il 

X 3 























































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































TOTAl* 












































FIR OIKT 












































*OTK ; E»c» Dopl. shoui* b* inbdlTUfd •• th»t acb dl»l*lo» 
acoordcd lu n«t r»>" or lot*. 


w *• All ri*hu rexrrod. Dnhl Doonll^t < 



Figure 28. (b) Form for Recording Labor Turnover (second page) 



FORM OF RECORDING LABOR TURNOVER 4*5 



PEPABTMENTS 

TERMINATIONS _...., ,_.-,„ 19 


DISCHARGES 
22 23 24 25 2« 27 28 2» 


LAID OPT 

30 3! 32 


UNAVOIDABLE 

33 34 SS 


TRAHBFIKS 

M 37 SS 


TOTALS 


| 


3 

a 




3 


K 

i 


s 

I 






§1 


> 

h 




a 


g 




s 

o 


X 

| 




1 


z 

I 

i 


+ T 

IS 










































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































































^ .u Bo~„. — O^l— U* bta* «, b. oU.Kd ^ U. -».. 



Figure 28, (c) Form for Recording Labor Turnover (third page) 



4i6 



APPENDIX 



TERMINATIONS 

TURNOVER ACCORDING TO PERIOD OF SERVICE 

TOTAL 



Employed 2 weeks or less 
*' 2—4 weeks . 
** 1—8 months 
'* 8—6 months 
" 6—9 months 

*■' ft— 12 months 
" 1—2 years' 
" 2—8 years, 
" 8 — 4 years 
•** 4—6 years 
" 6 —10 years 

" 10-15 years 

" Over 16 years 



.' ... . =- - ....- % " 

. • -. =•- <■•• %" 

, . r •«...„.,.._ — :-...,..., %" 

., . . = .-. — %» 

. . .. «_ — #'• 

, . .. = — %" 

. ., . =- ■ *." 

, .. , =. _ %« 

. . ■• =* — %" 

. . •. =-■- *" 



TURNOVER BY NATIONALITIES 



English. 



Polish 
French 

German 
Austrian 



*"■ 

-■■* " 

- * " 

»■% " 

% " 

- % " 

* " 

,...% " 



Employment Manager 



Figure 28. (d) Form for Recording Labor Turnover (fourth page) 



FORM OF RECORDING LABOR TURNOVER 4*7 

view with the employee, where the employee refused to give a reason 
for leaving, where it was not possible to ascertain the reason. 

"Incompetent" (22) includes those who are discharged owing to 
inexperience, because they are slow workers, for poor work, or for 
lack of knowledge of the work for which they were engaged. 

"Careless" (23) covers discharges for laziness, for disregard of 
safety regulations, for lack of interest in the work, for unreliability. 

"Frequent Absence" (24) and "Lateness" (25) need no explana- 
tion. 

"Misconduct" (26) includes discharges for being under the in- 
fluence of liquor, causing discontent and unnecessary trouble, viola- 
tion of company rules, destruction of company property, fighting on 
the company premises, and other like causes. 

"Insubordinate" (27) includes refusal to obey orders, use of im- 
proper language to superiors, disloyalty to superiors and the company. 

Computing Labor Turnover 

Now in using such a form, or a form of any sort, the 
next step will be the question of what formula to adopt in 
arriving at the percentage of labor turnover. And here we 
enter the field of controversy. In the definition of labor turn- 
over adopted by the United States Bureau of Labor Statistics, 
and the National Employment Managers' Association at their 
convention in Rochester, New York, May, 19 18, it was agreed 
that "labor turnover for any period consists of the number 
of separations from service during that period," and that, 
"separations" include all "quits, discharges, and lay-offs for 
any reason whatsoever." The method advanced for comput- 
ing the percentage of labor turnover for any period is to 
"find the total separations for the period considered and divide 
by the average of the number actually working each day 
throughout the period. Then multiply by the proper factor 
to reduce to a yearly basis." 

The following example is given to illustrate this: 
If the number employed by a plant or department of a 
plant decreases because it is the deliberate policy of the plant 



4l8 APPENDIX 

management to reduce permanently its working force, this 
fact should be explicitly stated and the reasons for the reduc- 
tion in force given. 

Method of Computing Percentage of Lalor Turnover 
for One Week 

Daily force reports (workers actually on the job) : 

Monday 1,020 

Tuesday 1,065 

Wednesday : 1,070 

Thursday ^035 

Friday 1,040 

Saturday 990 

Total Number of Separations During Week 300 

Average for Week 1,037 

Percentage labor turnover 300 

=1,504 per cent 

1,037 

This is the method of computing the percentage of labor 
turnover in general use by employment managers throughout 
the country. There are, however, some slight variations, such 
as the following: A good many firms do not use the figure 
for "the average of the number actually working each day" 
but use the average of the number on the pay-roll each day, 
on the theory that those on the pay-roll (if the latter is 
kept free from names of workers whose employment has 
terminated) are an actual expense to the concern whether 
they are absent temporarily or not; and that a figure based 
on daily attendance would often be misleading. Another varia- 
tion is with reference to the use of "separations" rather than 
"replacements" as a basis of determining the turnover per- 
centage. When the matter is one of increasing the force of 
workers it is generally agreed that the number of "separations" 



FORM OF RECORDING LABOR TURNOVER 4 J 9 

or those terminated from employment, will constitute the 
labor turnover. But when the working force is being de- 
creased, it is claimed by some that the number of workers 
newly hired should be the determining factor rather than the 
number of terminated workers, and that if a concern decreases 
its force without hiring new men there is no turnover as such. 
Few will agree with this view. 

Method of Computing Percentage of Labor Turnover 

for One Year 
(Assuming that records of daily attendance are averaged for 

each month) 

January 2,250 

February 2,170 

March 2,230 

April 2,400 

May 2,040 

June 2,100 

July 2,000 

August 1,980 

September 2,200 

October 2,220 

November 2,280 

December 2,240 

Total number of separations during year 5,020 

Average for year 2,176 

Average number working each month as determined from the 
force reports or daily attendance records: 

5,020 

Percentage labor turnover, =231 per cent 

2,176 

A Practical Formula 

It would seem then that, until some better method is 
evolved, the most practical formula for arriving at the per- 
centage of labor turnover of a plant would be the following: 

L 



420 APPENDIX 

The values are: 

L=Losses or the number of workers terminated 
A= Average number on the pay-roll for the period 

to be computed 
T= Percentage of labor turnover 

In other words, the figure representing the number of 
employees terminated should be divided by the figure repre- 
senting the average number on the pay-roll for the period, 
whether that period is a week, a month, or a year. 

When it is desired to obtain the turnover percentage for 
a given month, one should add the figures on the pay-roll 
for each day and divide the total by the number of working 
days in that month. This will give the value of A for use in 
the formula. Where it is inconvenient to obtain the number 
of workers on the pay-roll each day, the figures on the pay- 
roll each week should be added up, and the result divided 
by the number of weeks in that particular month. 

The above-mentioned formula includes terminations for 
any reason; but in the opinion of the author the final turnover 
figure should be analyzed to show what proportion of the 
turnover percentage is owing to unavoidable causes, such as 
death, serious illness, accident, or other causes beyond the 
control of the management. Better still, the figure represent- 
ing unavoidable losses should be deducted from the value of 
L before using the formula so that if U represents unavoidable 
terminations our formula would read: 

L-U 

If this were done, the turnover figure would be a more 
accurate index of losses in man-power. 



APPENDIX B 

ESTIMATING EMPLOYMENT COSTS— CLASSIFICA- 
TION OF PERSONS EMPLOYED 1 

How Some Estimates of Costs Are Made 

Realizing the importance of arriving at some general under- 
standing of the costs involved in the turnover of labor, the 
author recently conducted a symposium on the subject. 2 One 
of the contributions to this symposium, made by Dr. William 
A. Sawyer of the American Pulley Company, offers some 
suggestions of value. Starting with the assumption that in 
the particular business under discussion, three months gives 
the average man ample time to reach full productiveness, Dr. 
Sawyer divides his costs to cover four general groups, namely: 

i. Those who remain for a period of less than three 
weeks. 

2. Those who remain for a period between three weeks 

and three months. 

3. Those remaining for a period over three months. 

4. Those engaged but not reporting. 

Employees are then subdivided into general groups cover- 
ing the class of labor employed and costs determined as 
follows : 

Group 1. Those Remaining Less Than Three Weeks 

New employees during this period are figured to cost a 



1 See Chapter I 

2 See Industrial Management, March, 1919, pages 239-245, reprinted in the 
author's "Handbook on Employment Management," H. W. Wilson Company, New 
York. 

421 



422 APPENDIX 

proportion of the daily wage of one other employee who 
spends time in instructing him. This figure, though arbitrary, 
is based on the best estimate that can be made of the earnings 
of the employee whose time is consumed. "To this is added 
an estimated figure representing the reduced productiveness 
of the new employee over what is normal for the older 
employees in the department." The sum of these two figures 
is classed as lost productive labor and to it is added the average 
overhead. The total represents the estimated cost a day. 

The figures of the company show that the average employee 
who leaves within three weeks from the time he was started, 
works eight days, hence the cost for the three-week period is 
eight times the daily estimate. An example in the case of 
press hands is given: 

New man consumes directly a proportion of another 

man's time daily estimated at $ .75 

Reduced speed of production for new man .75 

Lost productive labor $i-5o 

Estimated overhead on productive labor 1.50 

Total (daily) $3.00 

Group 2. Those Remaining from Three Weeks to Three 
Months 

In this group it is generally found that while the produc- 
tiveness of an employee increases, the percentage of improve- 
ment varies with the particular group to which he is assigned. 
The method here is to "multiply the daily cost by 1 6y 2 (three 
weeks of 5^ days per week) to ascertain the cost at the 
end of three weeks, and to this add the daily cost (now reduced 
owing to increased skill on part of new worker) for the rest 
of the period during which the worker remains. The total 
represents the estimated cost for the period." 



ESTIMATING EMPLOYMENT COSTS ^3 

Group 3. Those Remaining Over Three Months 

For those who remain over three months, the above out- 
lined plan is followed, adding to the full cost for three months 
the estimated cost for the average additional period. 

Group 4. Those Engaged but Not Reporting 

In this case Dr. Sawyer estimates the delay to cost the 
company a figure represented by the overhead on the amount 
the worker would receive for one day's productive labor; 
where labor is non-productive, the figure would be represented 
by one day's wages of the individual. 

This method of arriving at the approximate costs of the 
shifting of personnel is an attempt in the right direction. 
What is important is to be sure of the factors that enter into 
the problem. When the person who has charge of personnel 
has these factors clearly in mind, he will find that a con- 
ference with one of the members of the auditing or accounting 
department of the concern will clear the path towards some 
simple method of estimating the costs regularly. Nothing 
dramatizes the evils of reckless employment methods, whether 
in a particular department of a concern or in the entire estab- 
lishment, so much as the results expressed in dollars and cents. 
Percentages mean little; but translate a condition in terms of 
cash and the significance is clearly evident. 

Standard cost accounting methods have yet to be applied 
to the technique of employment management; but the dav 
is not far off when some uniform procedure will be the general 
practice in all progressive business and industrial enterprises. 
In the meantime all possible sources of loss must be checked 
up and effort made 'through such activities as are described 
in this book, to promote the stability of the working force. 
Such effort requires the best thought of management, and, 
to be successful, must manifest itself in action that indicates 
a sincere desire to give the worker a square deal. 



APPENDIX C 

SANITARY STANDARDS FOR FACTORIES AND 

SHOPS 1 

Adopted By the Committee on Shop and Industrial 
Sanitation of the Council of National Defense 

Dr. Geo. M. Price, Chairman of Subcommittee 2 

[These sanitary standards are applicable only to factories and shops where the workers 
do not handle industrial poisons, it being understood that special provisions for 
such processes and workers are to be made under other standards.] 

I — Drinking Water 
i. General Provision 

There shall be provided in every factory for the use of employees 
a sufficient supply of wholesome, cool, drinking water. 

2. Location 

Drinking-water facilities should be provided on every floor of 
factory buildings in accessible places. 

3. Fountains 

Wherever practicable drinking water should be provided through 
bubble fountains or inverted spigots, so constructed that a person 
may drink from the stream or jet of water without touching his 
lips or mouth to the metal part of the fountain. 

4. Receptacles 

Whenever drinking water is placed in receptacles these shall be 
constructed of metal or glazed earthenware and provided with cocks 
and spouts and properly covered so as to prevent contamination; also 
cleaned at frequent intervals. 



1 See Chapter XII. 

2 Approved by the advisory committee of the National Tuberculosis Association 
as shop standards for tuberculous workers. 

424 



SANITARY STANDARDS FOR FACTORIES 4^5 

5. Drinking Cups 

No common drinking cups or glasses should be permitted. Paper 
cups or individual glasses should be used. 



II — Washing Facilities 

1. General Provision 

In every factory there shall be provided and maintained for use 
of the employee suitable and convenient washing facilities, separate 
for each sex, provided with running water and consisting of single 
or trough sinks without plugs, or stationary basins, of a material 
easily cleansable and maintained in good condition. 

2. Location 

Washing facilities shall be conveniently located in accessible 
places. 

3. Number 

There shall be provided at least one sink or stationary basin with 
hot and cold water, for every 10 employees, or at least 2 feet of 
trough sinks for every 10 employees, or a perforated pipe with a 
continuous flow. 

4. Floors 

The floors under the basins and sinks shall be kept in good repair 
and in good condition. 

5. Towels 

The use of roller towels or any towel in common is prohibited. 
Paper or individual towels should be used. 

6. Receptacles for Soiled Towels 

Whenever paper towels are provided, receptacles for such towels 
shall be provided. 

Ill — Toilet Facilities 
1. General Provisions 

Toilet facilities shall be provided in accordance with the following 
standards : 



426 APPENDIX 

2. Apartment 

(a) Location. All toilets shall be located conveniently to and 
easily accessible from, all places where persons are employed. 

(b) Separation. Toilet rooms for each sex shall be maintained 
separate and apart from each other and from all workrooms and 
passageways. Such rooms shall be marked so as to designate plainly 
and distinctly for which sex they are intended. 

(c) Screening. If the water-closet 's not located within a separate 
screened compartment in the toilet room, the entrance to all toilet 
rooms shall be provided with a screen to insure privacy. This screen 
shall be at least 6 feet in height, and shall extend to within at least 
4 feet of the floor, and, if the space permits, shall be not less than 
2 feet wider than the door leading into such toilet room. 

(d) Distance. All toilet rooms not having sewer connections and 
maintained outside of buildings, where people are employed, shall 
be at least 25 feet from such buildings, and in all factories where 
the workers are exposed to excessive heat, humidity, or fatigue from 
physical exertion, there shall be a covered passageway connecting 
said building with toilet or toilets. 

(e) Construction. The outside partitions of all toilet rooms shall 
be of solid construction, and made opaque or translucent, but not 
transparent, and shall extend from floor to ceiling, or such rooms 
shall be independently ceiled over. All partitions separating toilet 
rooms provided for the different sexes shall be at least 2 inches in 
thickness and constructed of such materials as are not transparent 
or translucent, and they shall be sound proof and no openings in 
such partitions shall be permitted. Where more than one water- 
closet is provided in one toilet room each water-closet shall be in 
a separate compartment provided with a door. The partitions and 
the door shall be composed of material that is opaque or translucent, 
but not transparent. The tops of the doors and of the partitions 
shall be carried either to the ceiling or to a height of 7 feet from 
the floor; the bottoms of the doors and the partitions shall not be 
more than 4 inches from the floor. 

(/) Floors. The floors of all toilet rooms shall be tight, smooth, 
and constructed of a substance that shall be impervious to moisture. 

(g) Walls. The walls of all toilet rooms shall be tight and of 
a substance that can be readily cleaned and kept clean. 

(h) Ceilings. The ceilings of all toilet rooms shall be tight and 
of a substance that can be readily cleaned and kept clean. 



SANITARY STANDARDS FOR FACTORIES 4^7 

(i) Light. All toilet rooms and water-closet compartments shall 
be adequately illuminated by natural or artificial light. 

(/) Ventilation. All toilet rooms not lighted by windows that 
open easily shall be adequately ventilated to the outside air by artificial 
means. Every water-closet compartment entirely separated from the 
remainder of the toilet room by partitions extending from the floor 
to the ceiling and not provided with a window opening easily shall 
be adequately ventilated to the outside air by artificial means. 

Every toilet room or every water-closet or urinal compartment 
shall have a window opening directly to the outside air. No such 
window shall be less than I foot wide nor have an area of less 
than 6 square feet, measured between stop heads, for one water- 
closet or urinal. For every additional such fixture the area of such 
window shall be increased at least I square foot. A skylight shall 
be deemed the equivalent of a window, provided that it has fixed 
or movable louvers with openings of the not openable area prescribed 
for such window. 

Every such window shall be open upon a street or upon a yard 
or open space, uncovered at the top, which in its least horizontal 
dimension shall be at least one-tenth the height of the highest 
abutting wall, but in no case less than 6 feet. 

(k) Heating. All toilet rooms and water-closet compartments 
shall be adequately heated at all times. 

(/) Cleanliness. The occupier shall be responsible for the main- 
tenance of all toilet rooms or water-closet compartments in a clean 
and sanitary condition. 

3. Fixtures 

(a) Kind. The use of any form of trough water-closet or latrine 
or school sink is prohibited ; individual closets shall be provided. 
The bowls of all water-closets shall be smooth, impervious material. 
Pan, plunger, wash-out, faucet, and long hopper closets are not 
permissible. The seat shall be finished with a smooth, impervious, 
waterproof substance. 

(b) Connections. The disposal of all contents of toilets and 
urinals shall be in accordance with the laws, rules, and regulations 
of the state and municipal health authorities of the locality in which 
they exist. 

Privies shall not be permitted except in cases outside of the 
sewer zone, and where cesspool or septic tank can not be used privies 



428 



APPENDIX 



not connected with the sewerage system shall be built in accordance 
with the standards recommended by the United States Public Health 
Service. 

Provisions shall be made for the adequate flushing of every water- 
closet. 

(c) Number and ratio. Water-closets shall be provided in ac- 
cordance with the following table: 



Number of Persons 


Number of 
Closets 


i to 20 

21 to 40 


1 
2 
3 
4 
5 
6 


41 to 60 


61 to 80 

81 to 100 


101 to 150 



For each additional 30 persons, at least one additional water-closet 
shall be provided. 



4. Urinals 

(a) Kind. Urinals provided shall be either individual urinals 
or slab urinals. At least 2 feet of slab urinal shall be considered the 
equivalent of one individual urinal. 

(b) Construction. Urinals shall be composed of smooth material 
impervious to moisture. 

(c) Connections. All urinals shall be connected by waste pipes 
to sewers or cesspools, which sewers or cesspools shall be constructed 
in accordance with the laws, rules, and regulations of the State and 
municipal health authorities of the locality in which they exist. 

Unless water runs continuously over the walls of the urinal each 
urinal shall be provided with an adequate water flush. When in- 
dividual tanks are used, the flushing shall be accomplished by pedal 
action. 

(d) Number and ratio. Where more than 10 males are employed 
at any one time, urinals shall be supplied according to the following 
table : 



SANITARY STANDARDS FOR FACTORIES 



429 



Number of Men 


Number of 
Urinals 


Or Feet oi 

Slab 

Urinal 


10 to 50 


1 
2 


2 
4 


31 to 60 





For each additional 50 men employed at least one additional urinal 
or 2 additional feet of slab urinal shall be supplied. 

The above standards shall apply in all cases except where federal, 
state, or municipal laws, rules, or regulations of more restrictive 
character are applicable ; in such instances, the more restrictive laws, 
rules, or regulations shall apply. 



APPENDIX D 
PLAN FOR SHOP SAFETY ORGANIZATION 1 

Following is the plan for shop safety organizations, worked out 
by the Bureau of Statistics and Information of the State Industrial 
Commission (New York). 

Introduction 
Value of Shop Safety Organization 

The indispensable function of accident prevention and main- 
tenance of cleanliness and orderliness is carried on haphazardly in 
most manufacturing plants. Instead of centralizing the work in the 
care of one person, it is generally divided up and parts are added 
to the other duties of several of the managerial staff. As the man- 
agement and its subordinates are mostly preoccupied with the more 
pressing responsibilities of production and marketing, shop safety, 
sanitation, and health usually receive but incidental and unsystematic 
attention. Even where the management assigns a person to supervise 
this work, its failure to realize the significance of this phase of 
shop management often leads it to choose one who can be spared 
rather than one best qualified for this highly important task. Yet 
these matters vitally affect the compensation insurance premium as 
well as plant output. Practical business men, who have resorted 
to this form of shop activity, testify enthusiastically that a safe and 
sanitary shop not only means fewer accidents but a more efficient 
working force. Since it is good business to prevent accidents and 
maintain orderliness and cleanliness in the factory, supervision of 
the work is assigned to a competent person, who can give to it 
whatever time is required in accordance with the size of the working 
force and the hazard of the industry. 

Notwithstanding that a large percentage of the accidents can 
be prevented only by the good-will and co-operation of the employees, 
the average employer has done little to enlist their aid. He relies 
upon safeguards alone, whereas, a cursory study of his acci<knt_ 

430 



PLAN FOR SHOP SAFETY ORGANIZATION 43 1 

records would indicate that a large proportion of accidents cannot 
be prevented by them. Those employers who are aware of this fact 
arrive at the hasty conclusion that the worker is "careless." This 
opinion, if voiced publicly, instead of imbuing the workers with 
cautiousness and a desire to co-operate with the management actually 
stirs up "bad blood." Very few employees are deliberately careless. 
The ordinary employee generally subjects himself and fellow-workers 
to danger because it has not occurred to him that he is going about 
his work in an unsafe manner. The same can be said with reference 
to maintaining cleanliness and orderliness in the shop. The remedy 
is to educate and interest the worker in "safe and sanitary practices." 
But signs and posters alone are inadequate. Success in such matters 
can best be attained with the co-operation of the employees. Hearty 
co-operation has been secured in those plants where the workers 
have been made responsible for their share of plant accident preven- 
tion and maintenance of cleanliness and orderliness. To interest the 
workers, they must be given definite responsibilities and duties. 
Human beings learn by doing and sharing in responsibilities. 
Wherever this principle has been adopted and properly applied the 
workers have responded most enthusiastically. 

Manufacturers who have a cohesive shop safety, sanitation and 
health organization, guided by a competent person, point to the 
following as some of the more obvious benefits of such an organiza- 
tion: 

It relieves the management and its subordinates from attending 
to the numerous details connected with maintaining orderliness, clean- 
liness, and safety in the shop. 

It provides a medium through which these matters, so vital to 
the successful and economical operation of the plant, will receive 
the consideration they merit without encroaching upon the time 
required for other business problems. 

It enlists the co-operation of all employees from the superintendent 
to the rank and file worker by introducing collective responsibility. 

It furnishes a means of interesting the rank and file whose co- 
operation is absolutely necessary in the successful conduct of a shop 
safety sanitation and health organization. 

It systematizes the work so that maximum results ensue from 
the time devoted to this phase of shop activity. Nothing is more 
wasteful and ineffective than haphazard methods. 

It provides a check on the efficiency of safety work. 



43 2 APPENDIX 

It makes possible the accumulation and exchange of knowledge 
and experience in shop safety, sanitation, and health work. 

It makes possible the creation and perpetuation of an enthusiasm 
and "safety first" spirit without which the best intentions are but 
vain dreams. 

Part I 

Purpose and Organization 
Purpose 

Prevention of accidents and the promotion of the general good 
order, hygiene, and sanitation of a manufacturing plant can be most 
successfully accomplished when there is a hearty co-operation between 
the management and its employees. It is to their mutual interest 
to work harmoniously in such matters. While the company loses 
financially whenever an accident occurs or a worker is obliged to 
lay off because of sickness, the employee is the greater sufferer 
in such cases. He must bear the pain, and, regardless of the amount 
of financial compensation awarded to an employee, it does not equal 
his earnings. 

With this consideration in view a shop safety, sanitation and 
health organization is instituted to establish standards for the reason- 
able and adequate protection of the lives, health, and safety of all 
persons employed by the (insert name of firm). 

The (insert name of firm) and those in its employ obligate 
themselves to maintain such standards to the best of their ability 
and to the full extent of their power. 

Organization 

The shop safety, sanitation and health organization shall consist 
of the following divisions: Executives' committee, foremen's com- 
mittee, workers' committee, and safety supervisor. 

Executives' Committee 

This committee shall be composed of at least three persons from 
the executive authorities representing the general management and 
operating or production branch of the plant. 

The functions of this committee shall be as follows: 
I. Have general charge of and supervision over all matters affect- 
ing the safety and health of the employees. 



PLAN FOR SHOP SAFETY ORGANIZATION 433 

2. Pass upon reports and recommendations made by the foremen's 
and workers' committees, and the safety supervisor. 

3. Pass upon general plans for the conduct of accident prevention 
and health conservation work. 

4. Review comparative data as to accident frequency and severity 
in the plant. 

5. This division shall (should) furnish satisfactory reason to the 
other divisions whenever it vetoes or modifies recommendations sub- 
mitted for its consideration. 

6. This division shall (should) submit new policies or proposed 
deviations from established policies to the consideration of the other 
divisions comprising this organisation. 

7. This division may delegate as much of its authority as it 
•chooses to other divisions comprising this organization, provided 
due notice of such action shall be given in writing to all divisions. 

8. This division shall meet at least quarterly. (Monthly meetings 
are preferred by many.) 

Foremen's Committee 

This committee shall be composed of not less than five foremen 
and subforemen (in some plants membership of all foremen is con- 
sidered desirable) chosen as follows: 

(a) By the executives' committee, or 

(b) By the foremen and subforemen 

This division shall choose its chairman from among its member- 
ship. 

Rotation in membership by periodic changes in personnel may 
be provided for. 

The functions of this committee shall bo as follows: 

1. Make quarterly inspections for the purpose of standardizing 
the safety, sanitation, and health work throughout the plant. (In 
some plants monthly inspections are considered desirable.) 

2. So far as possible investigate at time of occurrence all serious 
accidents and report thereon. 

3. Discuss accidents or near accidents in the plant, determine 
responsibility and attempt to devise means of preventing recurrence. 

4. Consider ways and means of furthering safety, sanitation, and 
health work in the plant. 



434 APPENDIX 

5. Formulate rules for instructing workers in "safe and sanitary 
practices." 

6. Consider communications from executives' committee. 

7. Consider recommendations and reports of the workers' com- 
mittee. 

8. Consider recommendations and reports of the safety supervisor. 

9. Receive reports from individual committee members on personal 
activity in the furthering of shop safety, sanitation, and health 
work. 

10. Receive information from safety supervisor on accidents, 
sanitation, and health. 

11. This divison shall meet at least once a month. 

Workers' Committee 

This committee shall be composed of not less than five wage 
workers from the rank and file of the employees and representing 
the major departments or occupations. (Workers holding a position 
of even minor authority, such as "working boss," or "subforeman," 
are not eligible to serve on this committee.) 

Members of this committee may be chosen according to any of 
the following methods: 

1. The wage workers of each department or occupation to elect 
their representative (this method of choosing the workers' com- 
mittee is the best means of securing the right co-operation), or 

2. The executives' committee to elect the initial workers' com- 
mittee, and the wage workers of each department or occupation to 
fill future vacancies by election, or 

3. The executives' committee to select the initial workers' com- 
mittee, and the members of the latter body to designate from time 
to time their successors, or 

4. By the executives' committee, upon consultation with the fore- 
men. 

Rotation in membership by periodic changes in personnel may 
be provided for. 

This division shall choose its chairman from among its member- 
ship. 

The division may upon occasion invite the executives or foremen 
to its meetings. 

Members of this division doing piece, task, bonus, or premium 
work shall be compensated on the basis of their average hourly 



PLAN FOR SHOP SAFETY ORGANIZATION 435 

earnings when attending committee meetings or making inspections 
during working hours. Members paid by the hour, day, or week 
shall receive the usual pay while attending committee meetings or 
making inspections during working hours. 

Members of this division shall be compensated on the basis of 
the regular rate of pay when attending committee meetings or making 
inspections outside of working hours. 

The functions of this committee shall be as follows: 

1. Make at least monthly (preferably semimonthly) inspections 
of the plant — collectively where practicable. If this is not practicable 
individual committee members may inspec the departments they 
represent, or that portion of the plant most familiar to them. At 
least a quarterly inspection of the whole plant shall be made col- 
lectively by the committee. A report of every inspection should be 
prepared and signed by the entire committee. 

2. So far as possible investigate at time of occurrence all serious 
accidents and report thereon. 

3. Discuss accidents or near accidents in the plant; determine 
responsibility and attempt to devise means of preventing recur- 
rence. 

4. Consider ways and means of improving safety, sanitation, and 
health conditions in the plant. 

5. Make recommendations for elimination of unsafe and unsanitary 
conditions in the plant. 

6. Consider communications from the executives' committee. 

7. Consider recommendations and reports of the foremen's com- 
mittee. 

8. Consider recommendations and reports of the safety supervisor. 

9. Consider recommendations and reports of individual committee 
members, or any other wage workers. 

10. Receive reports from individual committee members on per- 
sonal activity in furthering "safety first" ideas among fellow workers. 

11. Receive information from safety supervisor on accidents, sani- 
tation, and health. 

12. This division sh'all meet at least monthly (preferably semi- 
monthly). 

The duties of individual members of this committee shall be as 
follows : 

1. Committee members shall interest fellow workers in the "safety 
first" idea. 



43^ APPENDIX 

2. Committee members shall caution fellow workers whenever 
they resort to unsafe and unsanitary practices. 

3. Committee members shall present safety, sanitation, and health 
suggestions of fellow workers to the workers' committee for action. 

Safety Supervisor 

The safety supervisor shall be appointed by and be responsible 
to the management. (The management should authorize the safety 
supervisor to expend reasonable sums of money in furtherance of 
the safety sanitation and health work, and to give orders necessary 
to the carrying out of his duties, his actions to be reviewable only 
by the general manager or general superintendent. His standing 
should be at least equal to that of head of a department or foreman, 
and in large plants he should receive clerical and other assistance 
necessary to relieve him from the routine work.) 

The duties of the safety supervisor shall include the following: 

Inspection and Investigation 

1. Become thoroughly familiar with the structural and other 
physical conditions of the buildings, and the layout of the equipment 
and premises. 

2. With a view to eliminating unsafe, unsanitary, and unhealthful 
conditions inspect plant constantly for: 

(a) Need of safeguards. 

(b) Maintenance of old guards, general order and cleanliness. 

(c) Arrangement of materials, tools, and equipment. 

(d) Lighting, ventilation, and physical condition of buildings. 

(e) Conditions on premises. 

3. Look after fire conditions, extinguishers, filling of fire pails, 
keeping exits clear and exit signs in good condition. 

4. See that first aid equipment is properly stocked and kept in 
proper place. 

5. See that approved recommendations are carried out and report 
thereon to respective committees. 

6. Investigate all accidents or near accidents, fix responsibility, 
and make recommendations to prevent their possible recurrence. 

7. See that drawings and specifications for new machinery cover 
guarding of hazardous parts, and inspect new machinery before it 



PLAN FOR SHOP SAFETY ORGANIZATION 437 

is permanently installed to see that the necessary safeguards have 
been provided. 

8. See that drawings and specifications for alterations, extensions, 
and additions to plant have proper safety, sanitation, and health 
provisions. 

Supervision 

1. Administer first aid, or supervise those assigned to administer it. 

2. Keep in touch with injured persons requiring medical treatment 
while at work, as well as with those whose injuries necessitate their 
absence from work. 

Information and Education 

1. Keep himself informed of latest developments in the "safety 
first" movement through literature, attending conferences, conven- 
tions, lectures, exhibits, visting other plants, and so on. 

2. Maintain "safety first" library for reference and use of every 
one in the plant. 

3. Supply committee members, foremen, and rank and file wage 
workers with readable "safety" literature. 

4. Make brief reports at committee meetings on topics of interest 
appearing in current "safety" literature, or which have otherwise 
come to his attention. 

5. Report at committee meetings on activities of other divisions 
of this organization. 

6. Supervise and conduct educational work on safety, hygiene, 
and sanitation through committees, bulletins, lectures, etc. 

7. Stimulate interest in safety, sanitation, and hygiene among 
foremen and rank and file wage workers through personal contact. 

8. Prepare, post, and maintain danger signs, bulletins, and bulletin 
boards. 

9. Co-operate with foremen concerned in giving advice and in- 
struction to new employees as well as with old employees who do 
not fully understand the safe method of performing their work. 

10. Caution backward employees against unsafe and unsanitary 
practices. 

Records and Accident Statistics 

1. Keep records and statistics of accidents and sickness, and 
make monthly and special comparative reports to the executives' 



43§ APPENDIX 

committee. Copies of such reports are also to be furnished the 
other committees. 

2. Attend all regular or special meetings of all committees, and 
act as secretary and custodian of minutes and other records. 

3. Supply copies of reports and recommendations of each division 
to the other divisions for their consideration. 

4. Act as intermediary for the various divisions. 

Part II 
Special Rules Governing Organization and Employees 

Joint Meetings 

1. Regular joint meetings of the shop safety, sanitation and 
health organization should be held at least quarterly to consider: 

(a) Preventive ideas. 

(b) Suggestions for general safety, sanitation and health. 

(c) Special recommendations made by any division involving an 

unusually large expenditure. 

(d) Means of safeguarding new machinery or equipment, 0$ 

new additions to plant. 

2. Special joint meetings of the shop safety, sanitation and health 
organization should be called by the safety supervisor promptly 
after the occurrence of a serious accident of exceptional character 
in order to fix responsibility and consider measures to prevent its 
recurrence. 

3. Special joint meetings of the shop safety, sanitation, and health 
organization should be called by the safety supervisor whenever all 
divisions cannot agree on recommendations, deviations from all 
policies, or proposed new policies. 

4. Either committee may at any time call a special joint meeting 
to consider matters of vital importance. 

Amendments 

I. Amendments to the shop safety, sanitation and health organiza- 
tion plan may be initiated by any of the divisions composing the 
organization, provided they shall become effective, 

(a) After submission to the foremen's committee, and when 



PLAN FOR SHOP SAFETY ORGANIZATION 439 

favorably passed upon by the executives' and workers' 
committees (this is the most desirable method), or 

(b) After consideration and report by the foremen's and workers' 

committees, and approval by the executives' committee, or 

(c) When favorably passed upon by the executives', foremen's and 

workers' committees. 

2. Agreeable to the executives' and workers' committees, amend- 
ments to the shop safety, sanitation and health organization plan 
that would alter it materially may be submitted to a vote of the 
rank and file of the wage workers, provided the amendments are 
first submitted to the foremen's committee for consideration and 
report. 

3. Amendments to the shop safety, sanitation and health rules 
may be initiated by any of the divisions composing this organization, 
provided they shall become enforceable, 

(a) After submission to the foremen's committee, and when favor- 
ably passed upon by the executives' and workers' com- 
mittees (this is the most desirable method), or 

'(b) After consideration and report by the foremen's and workers' 
committees, and approval by the executives' committee, or 

(c) When favorably passed upon by the executives', foremen's 
and workers' committees. 

Violations of Shop Rules 

I. Penalties for violations by wage workers of shop safety, sanita- 
tion and health rules may be imposed. 

(a) By the workers' committee, subject to approval by the fore- 

men's and executives' committees (this is the most de- 
sirable method), or 

(b) By the safety supervisor, subject to approval by the execu- 

tives', foremen's and workers' committees, or 

(c) By the safety supervisor, subject to approval by the general 

manager, or 
r (d) By the foreman, subject to approval by the general superin- 
tendent. 

Foremen's Duties 

I. Foremen and sub foremen are morally bound to give special 
and constant attention to the proper instruction and observation of 



440 APPENDIX 

new employees so as to protect them against accidents. Old employees 
when placed on new work should also be instructed as to the hazards 
of that work. 

2. Foremen and subforemen should study and guard against con- 
ditions and practices in the plant that are apt to endanger the life, 
limb, and health of the workers. 

Workers' Duties 

1. Each employee should regard himself in honor bound to co- 
operate with the management to reduce accidents and to maintain 
orderliness and cleanliness in the plant by observing the shop safety, 
sanitation and health rules. 

2. The employees of this plant regard it a reflection upon their 
honor for an injured worker to feign incapacity to work, or attempt 
to artificially prolong such incapacity. 



Part III 

Rules for Guidance of Members on Foremen's and Workers' 
Committees, and the Safety Supervisor 

How to Inspect 

i. In making inspections the one question which should be asked 
is: Can an accident occur? Not: Has an accident occurred at this 
particular point? 

2. Remember, it has been conclusively demonstrated that prac- 
tically every point of danger around machinery or the buildings can 
be sufficiently guarded without interfering with the work. 

3. Follow the oiler. Remember he must oil every bearing in 
the shop. Visit each bearing and satisfy yourself on one question: 
Can the oiler reach it in safety? If not, correction should be made 
at once. 

4. Make it a point to inspect out-of-the-way places as well as 
more obvious hazards. It is surprising how many persons are injured 
in places where it has been said, "Nobody ever goes." 

5. Conditions in yards and on roadways and passageways are 
always changing. They should be frequently inspected to find 
dangerous piles, defective floors, protruding nails and objects over 
which a man may stumble and fall. 



PLAN FOR SHOP SAFETY ORGANIZATION 44 1 

Look Out for Unsafe Practices and Conditions 

i. Keep a sharp lookout for all kinds of unsafe practices and 
conditions. Remember a large proportion of accidents are directly 
attributable to ignorance of the safe way of doing the work, or 
unsafe plant conditions not easily detected. 

2. A good guard out of place is a poor guard. See that guards 
are kept in use. Particularly watch adjustable guards on such 
machines as saws, joiners, shapers, emery wheels, and punch presses. 

3. Watch for loose sleeves, napping blouses, and flying neckties 
— anything which may get caught in the machinery and* draw the 
man or woman in. 

4. Bear in mind that the following are among the main causes 
of accidents: 

The manner in which a worker handles himself or performs 

his work. 
Fall of workers from elevations; into openings; or on level by 

slipping, stumbling, etc. 
Falling objects from elevations or on level because improperly 

piled, stacked, etc. 
Handling of tools or objects. 

5. Try to detect slight cuts, scratches, bruises, and burns which 
are not being properly cared for. They may cause infection and 
blood poisoning. Remember that the great majority of all infections 
are the direct result of neglecting small injuries. 

Guarding of Machinery 

1. Become familiar with all the requirements of the Labor Law 
and Industrial Code as to guarding of machinery and see that none 
of these are overlooked. For information as to these requirements, 
write to the Bureau of Inspection, State Industrial Commission, 
Capitol, Albany, N. Y., or 230 Fifth avenue, New York City. 

2. Become familiar also with the safety standards of the Com- 
pensation Inspection Rating Board, 135 William street, New York 
City. This is a semiofficial body in which all compensation insurance 
carriers are represented. The "Hand Book of Industrial Safety 
Standards," issued by this board, and which will be furnished free 
upon request, reflects the requirements of compensation insurance 
carriers with reference to guarding of machinery. 



44 2 APPENDIX 

What to Study — Machinery and Plant Layout 

1. Study the present arrangement and guarding of machinery and 
suggest better safety appliances to prevent accidents. 

2. Study the general layout of the plant with a view to detecting 
faulty engineering: 

(a) In construction of the buildings 

(b) In installation of the equipment 

(c) In the arrangement of the premises 

Often serious accidents are charged to these defects. 

3. Study the present method of storing and handling of materials 
and objects, and help prevent unsafe conditions and practices by 
watching daily and suggesting better methods. Also help prevent 
overloading of floors. 

4. Study how to reduce unnecessary sounds, vibrations, and noises. 

5. Study the best kind of clothing to be worn to guard against 
danger. 

Lighting, Ventilation, and Sanitation 

1. Study the present lighting arrangements. Help eliminate all 
dark and unsafe spots by suggesting a better arrangement, so that 
all parts of the factory may be properly and adequately lighted. 

2. Study the present ventilating system and suggest possible im- 
provements. 

3. Study how to keep workrooms, washrooms, and toilet rooms 
clean and sanitary and free from obscene pictures and writing. 

4. Study and suggest methods of guarding against diseases. 

5. See that the supply of drinking water is always kept clean and 
pure and that the pipes, etc., are in working order. 

6. Help prevent the accumulation of waste materials and rubbish. 

Fire Hazards 

1. Study the best methods to guard against and minimize fire 
hazards. 

2. Discourage smoking in prohibited places and urge the use of 
safety matches. 

Report Blanks 

In order to properly record and preserve the findings and recom- 
mendations of the safety supervisor and the workers' committee, 



PLAN FOR SHOP SAFETY ORGANIZATION 443 

uniform report blanks should be supplied for this purpose. Nothing 
is more convincing of the importance and seriousness of the duties 
of this kind of an organization than systematic maintenance of 
records. Supplying the blanks in pad form would make them handier 
for use when on an inspection tour. 

Compensation insurance carriers furnish blanks for reports of 
safety organizations in plants of their policyholders. Aside from 
these the following are suggested as forms which are proving highly 
satisfactory to a firm with plants distributed throughout the state 
of New York and the United States. They have been modified to 
meet the general needs of most medium and large-sized manufacturing 
plants : 



Name of firm 



Regular Report of Workers' Committee 

Date of Report , 192. . . Date of last report , 192. . . 

A. — The following departments have been inspected since last report: 

B. — The following unsafe practices in our opinion exist (give loca- 
tion) : 

C. — The following unsafe conditions were found (this refers to 
conditions, not individuals) : 

D.— The following recommendations are made (use back of report 
or attach letter if necessary) : 

Date of last meeting of committee, , 192. . 

Chairman 

Members 

Copy of this report delivered to executives' committee, 

, I9 2 - • 



Name of firm 



Regular Report of Safety Supervisor 

Date , 192.. Date of previous report , 192.. 

Inspections since last report include following departments: 



A. — Defects including lack of or improper guards and location of 

same : 
B. — Wrong conditions are as follows : 
C. — Unsafe or dangerous practices are as follows: 



444 APPENDIX 

D. — Defects, wrong conditions, unsafe or dangerous practices reported 

which have been corrected: 
E. — Items previously reported which have not been corrected, be- 
cause of: 
F. — Recommendations (use back of report or attach letter when 

necessary) : 
Copy of this report delivered to executives' committee. 

•••< , i9 2 -- 

> 

Supervisor. 

Copy of last workers' committee report, dated , 192. . 

Date of last meeting of workers' committee , 192. . 

Date of last meeting of foremen's committee , 192. . 

Part IV 
Shop Safety, Sanitation, and Health Rules 

Statement 

Only a certain proportion of the accidents occurring daily can 
be prevented by mechanical safeguards. Many accidents not pre- 
ventable by safeguards are caused by "unsafe practices," that is, by 
the worker performing his work or conducting himself in the shop 
so as to subject others or himself to danger. Similarly, many of 
the problems of shop sanitation and hygiene which vitally affect 
the comfort and health of the worker cannot be solved by mechanical 
devices. 

This statement is not intended to absolve the employer from 
responsibility in such matters, nor to charge the employee with 
deliberate, unsafe practices or neglect of shop sanitation and hygiene. 
These dangerous and unwholesome methods are practiced because 
neither the worker nor employer realize that they often result dis- 
astrously — frequently to innocent fellow-workers. The following 
rules are, therefore, intended to call attention to the most common, 
unsafe, and unhygienic practices. By a strict observance of these 
rules it should be possible to practically eliminate the accidents and 
discomforts due to unsafe and unhygienic practices. 

Employees should also be on guard against other less common 
unsafe and unhygienic practices that might lead to serious conse- 
quences. 



PLAN FOR SHOP SAFETY ORGANIZATION 445 

Remember: A careful man is the best safeguard. 

i. Be cautious and alert at all times, and under all circumstances. 

2. Conduct yourself at all times in an orderly and careful manner. 
Scuffling, playful wrestling, or any other kind of horse play is 
dangerous. 

3. Never disregard a warning sign. 

4. Do not go across dangerous places, nor through them, merely 
to save a few steps or a few seconds of time. 

5. Be careful in going up or down stairs. 

6. Do not throw articles of any kind out of windows. 

7. Do not spit upon the floors, passageways, walks, or in corners. 

8. Never fail to use a safeguard provided, and under no condition 
remove a safeguard unless you are authorized to do so. 

9. Never repair or clean machinery when in motion. 

10. Do not wear loose or torn clothing, loose neckties, dangling 
sleeves, aprons, gloves, loose suspender straps, unbuttoned jumpers, 
or pants with cuffs when working around the moving parts of 
machinery. 

11. Goggles must be worn in all operations by workers doing 
any work where there is danger of flying particles, such as chipping 
of concrete or any kind of metals, handling of molten metal, using 
unprotected grinding wheels, etc. 

12. Never use an elevator without permission from those in 
authority. Never attempt to step or jump on or off a moving elevator. 

13. Examine all tools before using them. No tools should be 
used, or issued, having "burred" or "mushroom" heads, defective or 
loose handles. 

14. Tools, appliances, materials, or equipment must not be left 
in aisles or passageways. 

15. Broken, weak, or rickety ladders should never be used. Lad- 
ders should always rest upon a level surface, and special care should 
be taken so as to prevent them from slipping at the foot or at 
the top. 

16. In piling up materials, be careful to stow them so that they 
cannot fall over. Also guard against the overloading of floors or 
or racks. 

17. If a nail is protruding from a board, knock it down or bend 
it over. 

18. Washrooms and toilet rooms must always be kept clean and 
sanitary. 



44& APPENDIX 

19. Maintain your self-respect and that of your fellow-workers 
by neither drawing obscene pictures nor writing obscene matter on 
walls, doors, etc. If you do not practice such indecencies, do not 
countenance them from others. 

20. Never play or tamper with any fire fighting apparatus. If 
it is not ready for use when needed, it may contribute to serious 
injury to yourself or fellow-workers. 

21. It is the duty of every employee to report every unsafe or 
dangerous condition or practice he sees either to his foreman, repre- 
sentative on the safety committee, or safety supervisor. 

22. Call attention of your foreman when there is insufficient light 
about machinery or passageways. 

23. Call attention of your foreman to any lack of proper ventila- 
tion. 

24. If you are injured, no matter how slightly, report it to your 
foreman at once. 

25. Be careful in everything you do. Take no chances. Remember 
that small neglects and oversights often cause serious accidents. 
Warn other men when you see them in danger, and try to get them 
to do things in a safe way. Look out for new workers and see 
that they do not meet with accidents, nor expose others to danger. 
Talk freely about safety with other employees, and remember that 
safety and sanitation suggestions are always welcome. 

26. Watch carefully for new rules that may be adopted from 
time to time. 

Part V 
Safety Literature and Information 

The movement for prevention of accidents and conservation of 
health of wage workers, like all human movements, depends for 
its success on the proper mental attitude of those affected by it. 
This fact assumes greater significance in this phase of industrial 
betterment, since the best results are attained only when mechanical 
safeguards and devices are supplemented by the good-will and hearty 
co-operation of the personnel connected with the plant. Current 
literature treating all phases of this movement is indispensable. The 
proper psychology cannot be maintained without constant contact 
with the movement. The safety supervisor can hardly be expected 



PLAN FOR SHOP SAFETY ORGANIZATION 447 

to imbue others with the "safety first" idea unless he has a continuous 
source of inspiration which will stimulate his intellect and emotions. 
A minimum of literature required to successfully keep alive the 
"safety first" spirit is listed below: 

Government Publications 

i. Have Bureau of Statistics and Information of the New York 
State Industrial Commission, Capitol, Albany, place firm on permanent 
mailing list for 

(a) Proceedings of the Annual State Industrial Safety Congress. 

(b) Monthly Bulletin. 

(c) Bulletin No. jj, and other literature issued from time to 

time on safety, sanitation, health, and general employee 
relations problems. 

2. Request United States Bureau of Labor Statistics, Washington, 
D. C, to place name of firm on permanent mailing list for Monthly 
Labor Review. For current literature dealing with safety, sanitation, 
health and general employee relation problems, consult "Publications 
Relating to Labor" in each issue of the Review. Publications issued 
by the U. S. Bureau of Labor Statistics will be mailed free upon 
request, if still in print. 

3. Request Surgeon General, United States Public Health Service, 
Washington, D. C, to place name of firm on permanent mailing list 
for reprints from weekly Public Health Reports and supplements on 
the health of industrial workers. 

Additional Literature and Bibliographic Information 

1. The State Industrial Commission also places the Bureau of 
Statistics and Information, Capitol, Albany, at the service of anyone 
interested in any safety, sanitation, health, and general employee 
relations problems literature through loan of printed matter from its 
library or through bibliographic information. 

2. There are a few periodicals published which give attention 
to material on industrial safety and are designed for both technical 
and popular reading. Upon specific request the Bureau of Statistics 
and Information will gladly supply the names of such periodicals 
as will meet the needs of the individual firms for use of the foremen, 
workers and safety supervisor. 



44^ APPENDIX 

Co-operative Safety Associations 

1. The American Museum of Safety, 14 West Twenty-fourth 
street, New York City, renders service to engineers, inspectors, and 
industrial firms. It has maintained for a number of years a permanent 
exhibit of approved safety and sanitary appliances. The museum's 
resources include an inquiry and research service, a highly specialized 
library, inspection service, lectures, and traveling exhibits illustrating 
various phases of accident prevention and health conservation, as well 
as a monthly bulletin, Safety, a technical non-commercial publication, 
free to members. To non-members the subscription price of the 
bulletin is $1 per year. 

2. The National Safety Council, 208 La Salle St., Chicago, 111., 
renders a safety service which consists of a weekly bulletin service, 
special publications and a consultation safety service. Membership 
dues are based on the nature of service rendered and the number of 
employees on the pay-roll. 



Part VI 
Appendices 

Announcement of the Plan for Shop Safety Organization 

The imperativeness of giving proper publicity to the new organiza- 
tion cannot be overemphasized. Unless the rank and file workers 
know that such an organization is in existence, are fairly conversant 
with its purpose, and feel that it has the management's unqualified 
approval, it will be difficult to secure their co-operation. Indeed 
there is danger that the whole undertaking may turn out to be a 
farce. The most effective method of publicity is to call a mass meeting 
of the workers, wherever possible, at which the purpose of the 
organization and its functions should be explained by someone high 
in authority. Should this not be practicable, a printed announcement 
is a fair substitute. (Manufacturers will find it worth while to use 
both methods.) 

The following statement, signed by the firm, is suggested as a 
sample for a poster or dodger to be distributed or inserted in the 
pay envelope when the organization is launched. The membership 
of the workers' committee and the occupation or department that 
each member represents might be incorporated in the statement: 



PLAN FOR SHOP SAFETY ORGANIZATION 449 

Announcing the Formation of a Safety, Sanitation and Health 
Organization of the 



(Insert firm name.) 

The (insert firm name) has always been solicitous for the com- 
fort and safety of its employees. In pursuance of this policy it has 
done everything practicable to safeguard the life, limb, and health 
of the workers. The New York State Industrial Commission has 
brought to our attention a method of systematizing plant safety, 
sanitation, and health work so that it will be placed on as business- 
like a basis as any other phase of plant management. The plan 
which they recommend is being used by many progressive manufac- 
turing firms in the state, and is bringing excellent results. Its chief 
merit is that it enlists the mutual co-operation of everyone in the 
plant, from the superintendent to the rank and file worker. We 
particularly appeal to the rank and file workers in our plant to assist 
us in this worthy endeavor. You spend the best part of each day 
in the plant, and some unsafe and unsanitary conditions and practices 
come to your attention that we may overlook. We want to remedy 
these shortcomings and invite suggestions from everyone. 

The organization will consist of three committees — one repre- 
senting the management, one the foremen and one the workers 
in the plant. (Indicate here how the workers' committee will be 
chosen, and, if possible, the members of the first committee, also 
give the name of the safety supervisor.) 

The workers' committee has been chosen to work for you. The 
duty of this committee is to study ways of protecting you, of 
promoting your comfort and safeguarding your health while you are 
in this building. In some cases changes suggested by this committee 
have to do with machines or equipment. In other cases the com- 
mittee finds that certain practices among the people in the various 
departments are not for the best interests of all. If through thought- 
lessness or ignorance anyone in the building is doing something that 
endangers your health or safety or comfort, it is the duty of the 
committee to see that this practice is stopped. If the committee fails 
to do this, they fail to protect your interests. 

In other words, the committee points out certain unsafe and un- 
sanitary practices and conditions that endanger you, and recommends 
certain improvements that should be made in your interest. Don't 



45° APPENDIX 

you think that the committee in their work for you should have your 
help and co-operation? 

Promotion of Safety Sentiment 

If the shop safety, sanitation and health organization plan is 
issued in pamphlet form, space on the cover or elsewhere might 
be used for brief matter to promote the safety sentiment. The follow- 
ing is an example of such matter found in safety literature: 

The "Safety First" Ideal 

"And the end is that the workman shall live to enjoy the fruits 
of his labor; that his mother shall have the comfort of his arm 
in her age; that his wife shall not be untimely a widow; that his 
children shall have a father; and that cripples and hopeless wrecks 
who were once strong men, shall no longer be a by-product of in- 
dustry."— -P. B. Juhnke. 



APPENDIX E 

TERMS OF APPRENTICESHIP AGREEMENT 1 

1. Applicants for apprenticeship must be not less than sixteen 
years of age. They must be physically sound, of good moral char- 
acter, and have received an education equivalent to that required 
for graduation from the public grammar school or better. 

2. Application must be made in person. If accepted, the applicant's 
name will be registered and due notice will be given when he will 
be required to commence work. 

3. The first 576 hours shall constitute a term of trial. If the 
apprentice shall during this period prove satisfactory and shall before 
the expiration thereof execute together with some other responsible 
party an agreement in the form hereto annexed, then his apprentice- 
ship shall date from the beginning of the term of trial and shall 
continue for the full term unless sooner terminated, as hereinafter 
stated. 

4. During his training the apprentice will be loaned the necessary 
shop tools and classroom materials. At graduation the set of shop 
tools shall thereupon become the property of the apprentice. 

5. Apprentices will be required to serve for a term of four years, 
each to consist of 2,400 hours, including about 200 hours in the school- 
room per year. 

6. Apprentices shall make up lost time at the expiration of each 
year, at the rate of wages paid during said year; and no year of 
service shall commence until the apprentice shall have fully made 
up all the time lost in the preceding year. 

7. The company reserves the right whenever the state of business 
demands it, to shorten the hours of labor or whenever for any reason 
it shall stop the working, or suspend wholly or in part; and the 
making up of lost time in this way shall be at the discretion of the 
company. 

8. The apprentices will be required to perform their duties with 



^ce Chapter VII. 

451 



45 2 APPENDIX 

punctuality, fidelity, and diligence; and to conform to the rules and 
regulations which are, or may be, adopted from time to time for 
the good government of the shop; and the company reserves the right 
to itself, at its sole discretion to terminate an agreement, and dis- 
charge the apprentice from further service for any non-conformity 
with rules and regulations, want of diligence to his business, or 
improper conduct in or out of the shop. 

9. In case of discharge, or in the event that said apprentice shall 
abandon his apprenticeship before the expiration thereof, without the 
consent of said company, the apprentice shall forfeit all wages then 
earned and unpaid. 

10. Apprentices will be paid for each hour of actual service 
including the time spent in the classroom. For the first year, includ- 
ing the trial period, he will receive 12.5 cents per hour, for the 
second year 18 cents per hour, for the third year 22 cents per hour, 
and the fourth year 26 cents per hour. 

11. Apprentices will be allowed to increase the above-mentioned 
rates of wages on the piece-rate system wherever the latter may be 
found practicable. 

Apprentice Agreement 



This Agreement is made this day of 19 

between The Remington Arms, Union Metallic Cartridge Company, 
Incorporated, doing business in Bridgeport, Connecticut, hereinafter 

known as "Company" and 

of hereinafter known as "Apprentice," 

and of 

hereinafter known as "Guardian," whose relationship to the 

Apprentice is that of 

For the purpose of acquiring the Art or Trade of Machinist and 

Toolmaker said hereby 

becomes an Apprentice to the Company and the Company hereby accepts 
him subject to the terms herein stated. 

The Apprentice and his Guardian hereby promise that the Apprentice 
shall conform to and abide by all the provisions of this agreement, and 
shall faithfully serve the Company during the full period of time named 
in this agreement. 

The Apprentice agrees during the period of his apprenticeship to 
do all in his power to learn said art or trade and earnestly and loyally 
to promote the interests of the Company. He also agrees to pursue 
classroom studies when they are required and arranged for by the Com- 
pany and in that case to do a reasonable amount of home-study in. 
preparation thereof. 



TERMS OF APPRENTICESHIP AGREEMENT 453 

It is agreed by the Apprentice and his Guardian that the Company 
shall have the right at any time to discharge the Apprentice for lack 
of diligence, indifference to business, inability for the works, disobedience 
of rules and regulations of the Company, or improper conduct in or out 
of working hours and to suspend him if the state of business should 
demand it. 

In consideration of the agreements on the part of the Company herein 
contained the said Apprentice agrees that he will pay the Company the 
sum of $25 said sum to be paid by said Apprentice at the expiration 
of the term of trial referred to in said "Terms of Apprenticeship," this 
to be returned to the Apprentice upon graduation. 

The Company agrees to train and instruct the Apprentice in said art 
or trade and to pay him compensation as specified in this agreement 
for his services as Apprentice. The Company also agrees that if the 
Apprentice shall remain in its service for the full period of his Appren- 
ticeship, including whatever period is required to make up lost time, 
and shall in every way comply with the terms of this agreement, to 
present to the Apprentice at the termination of his apprenticeship a bonus 
of One Hundred and Fifty Dollars ($150) and a Certificate of Appren- 
ticeship signed by an officer of this Company. 

This agreement shall cover a period of Four years including a trial 
period of 576 working hours. Each year shall consist of 2,400 working 
hours. 

The Apprentice shall receive from the Company during the period 
of apprenticeship the following compensation, to wit : 

1 2 J/2 cents per hour for the first year 
18 " " " " " second " 

22 " " " " " third " 

26 " " " " " fourth " 

The Remington Arms 
Union Metallic Cartridge Company, Inc. 



apprentice 



per. 



guardian 
Signature must be written in full and with ink 



APPENDIX F 

BY-LAWS DODGE MUTUAL RELIEF ASSOCIATION 1 

Article I 

Section I. The name of the association shall be Dodge Mutual 
Relief Association, and may be designated by the initials D. M. R. A. 

Section 2. Its headquarters shall be at Mishawaka, St. Joseph 
County, Indiana. 

Article II — Object 

Section 1. The object of this association shall be to secure, at 
a minimum cost, the mutual relief of members in cases arising from 
accident, sickness, quarantine, and death among employees of the 
Dodge Manufacturing Company, and its subsidiary companies, and 
to enable them to avoid the necessity of appealing for charity; also 
to promote the general welfare of its members. 

Article III — Membership 

Section 1. Anyone while an employee of the Dodge Manufac- 
turing Company, or its subsidiary companies, is eligible for member- 
ship, provided he or she is between the ages of 16 and 60 years 
and of sound mental and bodily health and of good moral character; 
subject to the by-laws which are now or later may be adopted. 

Section 2. Each new employee shall receive from the secretary 
as soon as possible after employment, a letter reading as follows: 

Dodge Mutual Relief Association 

Mr Check No 

You are cordially invited to join the Dodge Mutual 
Relief Association, managed by your fellow-employees for 
their mutual benefit as you will see from the enclosed copy 
of by-laws. 



See Chapter XXIII. 

454 



BY-LAWS — DODGE RELIEF ASSOCIATION 455 

It is taken for granted that you desire to avail yourself 
of the privileges of this organization. 

If you join within 30 days you save $1.40, half of the 
membership fee, so for that reason I have filed with the 
Directors an application for membership for you. 

In this way you get the full benefit of prompt action 
and if this is not in accordance with your wishes please 
let me know at once. 

Yours for self-protection, 



Secretary D. M. R. A. 

Section 3. The secretary shall also fill out part of the following 
application blank, inserting the employee's name in the blank at top 
and such other information as he may have available. 

Application for Membership 
Dodge Mutual Relief Association 

To the Board of Directors of Dodge Mutual Relief 
Association : 

No Date 19. . . . 

I, am an 

employee of the at 

My check number 

is and I hereby apply for membership in 

Dodge Mutual Relief Association for benefits of $ 

at death and $ per day temporary disability. I 

have carefully read the by-laws and agree to comply with 
and be bound by them. 

I reside at No St. 

in the city of County of 

State of 

I am married and wish $ benefits 

in the event of my wife's death. My wife was born on 

the day of in the year 

in the City of State of 



45^ 



APPENDIX 



I was born on the day 

of I in the city of 

County of State of 

I have children under 16 years of age 

as follows for whom I would claim benefits in case of the 
death of any of them. 



First 


Middle 
Name 


Last 
Name 


Born on 


Amount 
of 


Name 


Day 


Month 


Year 


Benefits 
Desired 





































































































I certify that I am temperate in my habits, and to the 
best of my knowledge and belief, there is no injury or 
disease, constitutional or otherwise, which will tend to 
shorten the life of either myself, my wife, or any of my 
children, except as stated below: 



I agree that any untrue or fraudulent statement, made 
to the medical examiner, or any wilful concealment of facts 
in this application or elsewhere, will forfeit my membership 
in the said association and all rights, benefits, and equities 
arising therefrom. 

I was last attended by a physician on 

for 

I hereby instruct said association, in case of my death, 

to pay the death benefit to 

related to me as or if 

I should survive and neglect 

to notify the secretary of some other beneficiary, payment 
to then be made at the discretion of the board of directors. 



BY-LAWS — DODGE RELIEF ASSOCIATION 457 

I wish to have the benefit of the privileges of the club- 
rooms at 5 cents per week. 

I hereby authorize the Dodge Manufacturing Company 
or any of its subsidiaries for whom I may be working, to 
withhold from any wages due me, the dues of the association 
as provided by the by-laws, and pay same to the secretary 
of the association, the paymasters of the company thus acting 
as my attorneys. 

Sign here 

Recommended by 1 Members of 

[D. M. R.A. 

Application approved .19 by 

the Board of Directors. 

Secy. 

Section 4. The application may be acted upon by the board 
either before or after being signed by the employee but before he 
can become a member it must be duly signed by him. 

Section 5. In the event that members desire to avail themselves 
of additional benefits, they may do so subject to the provisions of 
the by-laws, upon notice to the secretary. 

Section 6. Connection with the Association shall terminate when 
the member ceases to be employed by the Dodge Manufacturing 
Company or its subsidiaries, or when suspended or expelled by order 
of the directors, in accordance with the by-laws, or upon resignation 
filed with the secretary, except that where a member shall be tem- 
porarily laid off by the Dodge Manufacturing Company or its sub- 
sidiaries, such action shall be held subject to the discretion of the 
directors not to terminate the membership until twenty-six weeks 
have elapsed, provided dues are handed regularly to the secretary 
without solicitation and the member continues to reside in the county. 

Section 7. Any employee who involuntarily withdraws from 
the association, may be reinstated at the discretion of the directors, 
but will be required to be again examined by the physician, and pay 
all old accounts against 'him unless excused by the consent of the 
board of directors. 

Section 8. Any employee voluntarily leaving the association, is 
again eligible for membership on the same basis as any other 
employee, but must pay up any old accounts against him unless 
excused by the directors. 



45 8 APPENDIX 

Section 9. Membership shall date from the time of deducting 
the first dues from the wages of applicants and shall terminate with 
the expiration of the time covered by the last dues paid. 

Section 10. In case that it shall be found that an applicant, his 
wife (or dependent husband), or a child, has a chronic or other 
ailment which would decrease the desirability of the applicant as 
a member, the applicant may, by a majority vote of the board of 
directors, be admitted to membership by exempting the association 
from liability for such ailments or from liability due to ailments for 
which such conditions shall be responsible. 

Section 1 1. Whenever an applicant is admitted to membership 
in accordance with section 8, the action of the board of directors 
shall be recorded on the membership record and in the minutes. 

Section 12. All applications will be first acted upon by the board 
of directors and applicants favorably received will take a medical 
examination at the expense of the association, and under the direction 
of the board, unless excused by the board. 

Section 13. Admission to membership will depend upon the deci- 
sion of the board following the medical examination, if any. 

Section 14. The board of directors have the right to reject or 
withhold decision on any applications which appear to them liable 
to work contrary to the interests of the association. 

Section 15. Membership shall consist of benefits for temporary 
disability and death of member together with such other benefits as 
may be selected by the member. 

Section 16. Dues of all members are to be deducted bi-weekly 
or pro rata semimonthly by the regular paymasters of the Dodge 
Manufacturing Company or its subsidiaries and turned over to the 
secretary. This provision is possible through the courtesy of the 
Dodge Manufacturing Company. 

Section 17. Membership shall cease when for any reason dues 
are not paid as provided in the by-laws, unless by the consent of 
the board of directors. 

Section 18. If it shall be known that a member becomes habitually 
intoxicated, or is subject to any disability, brought on by his own 
neglect, misconduct, or vice, or if it shall be known that he has 
falsified in his application for membership, or has endeavored to 
defraud or injure the association in any way, he shall be deprived 
of benefits as the nature of the case may warrant, and shall be 
suspended or expelled, unless excused by the directors. 



BY-LAWS DODGE RELIEF ASSOCIATION 459 

Section 19. Members conducting themselves in a way to retard 
recovery or health, shall forfeit all benefits from disability so affected. 
This includes drinking intoxicants, frequenting questionable places, 
or any conduct which has a bad effect on health. 

Section 20. Members taking additional benefits will be required 
to take additional medical examinations unless excused by the board 
of directors. 

Section 21. For convenience in compiling statistics and ad- 
ministering the affairs of the association, the members may be grouped 
into divisions as the directors may decide. 

Section 22. All claims or rights to an interest in any surplus 
or other property shall cease with termination of membership. 

Section 23. Employees not eligible for membership owing to age 
or other restrictions may be accepted as club members paying regular 
club dues but not benefit dues. 

Article IV — Meetings 

Section I. The annual meeting of the association shall be held 
on the second Monday of January each year at 8 p.m. 

Section 2. Twenty members shall constitute a quorum for the 
transaction of business. 

Section 3. Special meetings are to be called by the president 
when requested by either twenty members or five directors, or in 
case he deems it desirable. Only the special business announced 
for a special meeting may be transacted at that meeting. 

Section 4. Notice of any meeting of the association with a state- 
ment of the business to be transacted, must be posted by the secretary 
in conspicuous places at least ten days prior to the meeting. In 
the case of subsidiary companies, the notice to be sent by the secretary 
to the proper representative to be posted. 

Section 5. The board of directors shall meet at least once a week 
on regular dates as they may agree, and also when called by the 
order of the president. 

Section 6. Five directors shall constitute a quorum at any 
directors' meeting. 

Article V — Officers and How Elected 
Section 1. The management of the association shall be vested 
in a president, vice-president, secretary, treasurer, actuary, and six 
directors. 



460 APPENDIX 

Section 2. At least two weeks prior to the annual meeting, 
notice shall be given to the various departments and subsidiaries 
stating the officers to be elected — to fill the vacancies due to expiring 
terms. 

Section 3. The president, vice-president, and treasurer shall be 
elected by popular vote and hold office for one year or until their 
successors are elected and qualify. 

The secretary shall be selected by the board of directors from 
among the employees of the main plant of the Dodge Manufacturing 
Company where he can have convenient access to the complete lists 
of employees. 

Section 4. Each of the six directors shall serve three years, two 
being elected each year by popular vote. 

Section 5. In event of any vacancy occurring in any office for 
any reason, the board will elect some member in good standing to 
fill the unexpired term until the next general election. 

Section 6. The board of directors may, if in its judgment it is 
desirable, select any necessary assistant secretaries, from the members 
in good standing or from their own number. 

Section 7. The board of directors shall elect an actuary who shall 
become a member of the board while filling that office. 

Section 8. In the event that the actuary or secretary is chosen 
from the members of the board, another member shall be selected 
by the directors to bring the membership of the board up to the 
required eleven members. 

Article VI — Duties of Officers 
Board of Directors 

Section 1. The board of directors and officers shall supervise 
all matters pertaining to, and have general control of the business 
of the association. 

Section 2. This includes power to suspend or expel members, 
or discharge any officer found unworthy of the confidence reposed 
in him, after due investigation and hearing. 

Section 3. The board may fill vacancies occurring in offices and 
decide questions not covered by the by-laws, but appeal must be 
taken to the membership, whenever twenty or more members de- 
mand it. 

Section 4. The board may levy not to exceed two assessments 



BY-LAWS DODGE RELIEF ASSOCIATION 46 1 

per year, of not more than twenty-rive cents each, per membership, 
collectible as dues, when the losses due to sickness, accident, quaran- 
tine, or death have depleted the reserve to a critical point; all other 
assessments must be referred to regular or special meetings of the 
association. 

Section 5. The board may demand a physician's certificate, or 
arrange for physical examination by a physician, at the expense 
of the association, whenever it seems desirable, and in case of any 
doubts about allowance of benefits, may similarly engage a physician 
for an investigation. 

Section 6. The board must pass upon all benefits before they 
are allowed, and may send flowers, at the expense of the association, 
not to exceed once in two weeks, in cases of confinement to bed 
exceeding one week, and in case of death. 

President 

Section 7. The president shall preside at all meetings of the 
association and the directors, and perform such other duties, as may 
be enjoined upon him by the association or directors. 

Section 8. He shall call regular or special meetings, sign all 
minutes, and decide questions of order, subject to appeal to the 
association. 

Section 9. He shall sign all orders drawn on the treasurer, and 
have the custody of all bonds of the officers. 

Section 10. He shall appoint all committees not otherwise pro- 
vided for, and fill vacancies therein. 

Vice-President 

Section 1 1. The vice-president shall assist the president, and 
shall assume the duties of that officer, in the event of his absence 
or refusal. 

Section 12. He shall serve as chairman of the investigating and 
visiting committees. 

Actuary 

Section 13. The duty of the actuary shall be to keep informed 
on all actuarial matters of interest to the association, and exchange 
actuarial information with similar officers of other associations for 
the general good of this association. 



4&2 APPENDIX 

Section 14. He shall give advice to the directors on the safe 
conduct of the financial affairs of the association, and to members, 
covering such information as he may have or be able to secure, 
referring to any insurance or financial matters submitted to him. 

Secretary 

Section 15. The secretary shall attend all meetings of the 
directors, the association, or any committees of which he is a member, 
take minutes and attend to the correspondence. 

Section 16. At annual meetings, also quarterly and on retiring 
from office, he shall give a written report of the progress and the 
present state of the association, and deliver to his successor, all books 
and papers pertinent to the office. 

Section 17. Each week he shall post on the association bulletin 
board, a list of the members drawing benefits. 

Section 18. He shall keep an accurate account with each member, 
and compile statistical information, as outlined by the board. 

Section 19. He shall notify the members through their attorneys, 
i.e. the paymasters of the company, of all amounts due the association 
for dues, assessments, etc., receive and record the money thus or 
otherwise collected, and pay it promptly to the treasurer. 

Section 20. He shall make and attest, all orders drawn on the 
treasurer, and deduct dues from benefits, when necessary, to prevent 
members from becoming delinquent while disabled. 

Section 21. He shall certify as to the correctness of all bills and 
shall permit the auditing committee or any officer of the association, 
to examine his books at any time. 

Section 22. He shall notify members of their appointment on 
committees, and give the chairman of each, a complete list of the 
committee. 

Section 23. He shall notify the chairman of the investigating 
committee of all applications for membership, and the chairman of 
the visiting committee, of all cases liable to lead to claims for benefits. 

Section 24. He shall give bond in the sum of $2,000, at the 
expense of the association, and for faithful performance of duties 
he shall, while serving, receive $10 per year. 

Treasurer 
Section 25. The treasurer shall receive all moneys from the secre- 
tary, keep an accurate account of all receipts and disbursements, as 



BY-LAWS — DODGE RELIEF ASSOCIATION 4^3 

outlined by the board, and allow to the auditing committee of the 
association free access to his books. 

Section 26. All monies received are to be promptly deposited 
in a place designated and approved by the directors as follows: 

A checking account not to exceed three hundred dollars in some 
bank believed to be safe; the balance to be deposited in savings 
banks, or put out at interest in some conservative way at the dis- 
cretion of the directors. All deposits must be made in the name 
of the association. 

Section 27. He shall, within twenty-four hours, pay any orders 
drawn on him, when properly signed by the president and attested 
by the secretary, and only when so signed and attested, provided 
sufficient funds are available. 

Section 28. He shall not withdraw any money from the savings 
account without the approval of the board. 

Section 29. He shall furnish bond in the sum of $2,000 at the 
expense of the association and shall receive a salary of $1 per year 
while serving. 

Section 30. At annual meetings and when retiring from office, 
he shall give a written report of the finances of the association, 
and deliver to his successor all books and papers pertinent to the 
office. 

Physician and Surgeon 

Section 31. The directors may regularly engage a physician and 
surgeon under suitable regulations, when in their judgment the 
association has grown to such proportions as to make it possible 
to increase the service to members without increasing the dues. 

Section 32. The physician shall be subject to the instructions 
of the directors, expressed through the president, when this office 
is filled, and the following laws shall apply: 

Section 33. He shall examine all candidates and aim by advice 
at the time, to improve their state of health, whether they become 
members or not. 

Section 34. He shall be a counselor of the visiting committee, 
and shall recommend that members be declared either on or off the 
disability list whenever, in his judgment, the general good of the 
members and the association require it. 

Section 35. His general function shall be to keep the members 



464 



APPENDIX 



well as far as practical, rather than merely to minister to the sick 
and injured, and shall prescribe and furnish medicines free at the 
expense of the association to members when they may need it. 

Section 36. He shall minister in all cases of accident and sickness 
of members residing within the city limits of Mishawaka, and supply 
all medicines and dressings from written notice of the disability 
from the secretary, unless requested not to do so by the member. 

Section 37. Members residing outside of Mishawaka may avail 
themselves of the services of the physician, by arranging with the 
secretary, for compensation covering extra expense due to the greater 
distance. 

Section 38. His signature and recommendations shall be appended 
to all reports for settlements. 

Section 39. Any medical attention secured by the members aside 
from that herein provided, shall be at their own expense. 

Section 40. When able to do so, members drawing disability 
benefits, must go to the office of the physician. 

Section 41. The physician or physicians' association shall receive 
as compensation for his or their services, the sum of fifty cents per 
member per year payable monthly, and, in addition, a bonus dependent 
upon the average amount of temporary disability benefits, paid by 
the association per member per each half-year as shown in the 
following table: 



When Average Temporary Disability Benefit 
per Member per Half-year is: 


Bonus to be Paid to 
Physician at End of 
Half-year 


Over 


Not More Than 


Per Member 


$1 .00 
.70 
•50 
.20 


$1.25 

1. 00 

.70 

•50 

.20 


$.12 
.25 
•35 
•50 
•65 



Section 42. The directors may enter into any agreement with 
the local physicians or their association which will secure service of 
physicians on any basis in harmony with these by-laws. 



BY-LAWS — DODGE RELIEF ASSOCIATION 4^5 

Investigating Committee 

Section 43. The vice-president shall serve as chairman of this 
committee, which may be combined with the visiting committee, if 
the directors deem it wise. 

Section 44. This committee shall be divided into sub-committees 
for different plants of the company. 

Section 45. The president shall each month appoint one or more 
members from each plant to serve three months, or until their 
successors are appointed and qualify. 

Section 46. The chairman shall each month designate the various 
chairmen of the sub-committees. 

Section 47. Each applicant must be investigated by at least two 
members of the committee who shall affix their signatures to the report 
which must be made to the directors through the secretary. 

Section 48. The committee, if in doubt, shall so report with 
definite reasons for hesitating and any recommendations they can 
make. 

Section 49. The committee may be reimbursed for any necessary 
expense incurred in making investigations. 

Visiting Committee 

Section 50. The vice-president shall serve as chairman of this 
committee, and shall designate each month, a chairman of a sub- 
committee, for each of the various plants of the company. 

Section 51. The president shall each month appoint one or more 
members from each plant to serve three months or until their suc- 
cessors are appointed and qualify. 

Section 52. Each person drawing disability benefits, shall be 
visited once each week, by at least one member of this committee, 
unless otherwise ordered by the directors or prevented by quarantine 
regulations. 

Section 53. Separate weekly reports of each case, on regular 
form shall be made by the members making the visits and endorsed 
by the sub-chairman and chairman. These reports shall be handed 
to the secretary for his files and the scrutiny of the directors. They 
shall include any violations of either the letter or the spirit of the 
by-laws or any tendency to increase the risk of the association which 
may be noticed, and any recommendations of any kind for the general 
good of the members of the association. 



4^6 APPENDIX 

Section 54. This committee may be reimbursed for any necessary 
expense incurred in making visits or in prosecuting their prescribed 
duties. 

Section 55. If in doubt at any time, the committee shall so report 
with definite reasons for hesitating and any recommendations they 
can make. 

Auditing Committee 

Section 56. Each year, as soon as possible after election, the 
president shall appoint one member of an auditing committee to 
serve three years, or until his successor is appointed and qualifies. 

Section 57. The senior member of this committee shall act as 
chairman. 

Section 58. The committee shall audit the books of secretary, 
treasurer, entertainment committee, and any others handling the 
monies of the association, and approve the secretary's report quarterly 
and report at the annual meeting of the association. 

Section 59. Any irregularities shall be reported to the directors 
as soon as discovered. 

Club Committee 

Section 60. The club committee shall consist of three or more 
members of which the chairman shall be chosen from the directors. 

Section 61. They shall provide or arrange for entertainments 
which may be for the good of the members or the association either 
financially or socially. 

Section 62. They shall have general supervision of the clubrooms, 
playgrounds, and other social activities of the association with such 
subcommittees as may be found necessary. 

Section 63. The chairman of each subcommittee should be either 
a director, or a member of the club committee if practicable. 

Section 64. The secretary shall be a member and secretary of 
the club committee. 

Section 65. All bills incurred by the club committee or its 
subcommittees shall be properly approved, and handed to the secre- 
tary for payment by the association from the club fund. 

Section 66. All money or other revenue received, shall likewise 
be promptly turned over to the secretary with full information as 
to its source. 



BY-LAWS — DODGE RELIEF ASSOCIATION 4^7 

Section 67. The committee will make a report to the annual 
meeting of the association, and have its records open to the auditing 
committee and other officers at all times. 

Section 68. Any member refusing to serve or failing to faithfully 
perform the duties of any committee to which he may be appointed, 
shall be fined 50 cents for the first offense, and $1 for any subsequent 
offense, unless excused bv the directors. 

Article VII — Funds 

Section 1. At least two funds shall be maintained, made up from 
fees, dues, and other revenue known as the Benefit and Club 
Funds. 

Section 2. The benefit fund shall be used only to cover benefits 
provided for in the by-laws, together with attendant expenses, and 
shall receive all revenue collected as dues for benefits. The protection 
of this fund being the first consideration. 

Section 3. The club fund shall be used for conduct of the club, 
as provided for in the by-laws. 

Section 4. Separate records of each fund must be kept by both 
secretary and treasurer, and also they must be kept in separate 
banks. 

Section 5. Dividends shall be declared, or dues be remitted, when- 
ever, in the judgment of the directors, it is safe to do so. 

Article VIII — Dues and Benefits 

Section I. The dues of the association, shall be payable every 
other week, or semimonthly pro rata on pay days, by being deducted 
from wages by the paymasters of the company acting as attorneys 
for the members. 

Section 2. In lieu of a membership fee, the dues of each member 
for the first fourteen weeks after joining shall be 40 cents in addition 
to the regular dues, except that applications received from employees 
within one month after, employment begins, or within one month after 
the adoption of these by-laws shall entitle them to special dues for 
the first fourteen weeks of 20 cents, in addition to the regular 
dues. 

Section 3. The regular dues each two weeks or half month pro 
rata shall be determined by the benefits which the member elects to 
take as follows: 



4 68 



APPENDIX 



A. Temporary Disability Benefits 
for not to exceed thirteen weeks 
for one disability, nor more than 
twenty-six weeks in any one 
calendar year. 

Benefit for each week-day after the 
first 3 days 

Amount of dues per week for this 
benefit 

B. Death of Member 
Benefit to be paid at death of 

Member 

Weekly dues for this Benefit 

C. Death of wife of Member pro- 
vided she lived in the United 
States at time of her death .... 

Weekly dues for this Benefit 

D. Death of dependent child over 
2 years and under 16 years of age 

Benefits in excess of $50 may not 
be taken for children under 6 
years of age. 

Benefit to be paid for each child at 
death 

Weekly dues for each child 

E. Club Benefits, including use of 
club rooms and such privileges 
as go with them. 

Weekly dues for club privileges . . 



Unit 



$0.50 



50.00 
.015 



50.00 
•03 



2 Units 



25.00 
.02 



100.00 
.023 



05 



50.00 
.04 



3 Units 



9 1.50 
•175 

1 50 . 00 

•045 



150.00 
.09 



4 Units 



75.00 
.06 



$ 2.00 
•25 



200.00 
.06 



200.00 
. 12 



100.00 
.08 



05 



Section 4. Members of this association may each take the various 
benefits at the corresponding rates of dues, provided that no member 
shall receive from all sources temporary disability benefits in excess 
of 90 per cent of his average wages for the three months preceding 
disability. 

Section 5. When no wages are due a member from the company, 
dues must be paid when due, without solicitation from the secretary 
in order to retain membership, except that in event of a member 
otherwise eligible for membership being temporarily laid off by the 
company, the directors, upon request and satisfactory assurance of 
credit responsibility, may arrange to extend the membership for 
a period not to exceed thirteen weeks, when the amount in the 



BY-LAWS DODGE RELIEF ASSOCIATION 4^9 

treasury will warrant it, and on condition that all such accrued 
dues are to be deducted from any benefits paid until the accrued 
dues are paid up. 

Section 6. When members have been laid off temporarily, and 
then resume work after having had the advantages of protection 
as covered in section 5, whether receiving benefits or not, their dues 
shall be doubled until all indebtedness to association has been paid. 

Section 7. The provisions of sections 5 and 6, are available only 
to members who continue to reside in the same county, and do not 
take up any occupation, which, in the opinion of the directors, should 
enable them to pay their dues, or should warrant the association in 
canceling the membership. 

Section 8. Any person who is a member of the Dodge Manu- 
facturing Company Mutual Relief Association at the time and at 
least one month prior to the reorganization and adoption of these 
by-laws, may continue to pay the same dues as formerly, and receive 
the benefits as provided for special members thus enrolled. 

Section 9. Special members provided for in section 8 shall pay 
5 cents per week for former class B and 10 cents for former class A 
members. 

Section 10. Special members, or those paying special dues, as 
elsewhere provided for will receive benefits as follows: 

Eighty cents per day for former class A, and 40 cents per day 
for former class B members, instead of disability benefits as provided 
for regular members; and death benefit of $50 for former class A, 
and $25 for former class B members. 

Section 11. Members who join the association after they are 

45 years old, shall receive benefits as follows: 

Age at Time 
of Joining 

46 to 50 Benefits will be 10% less than regular schedules 

51 to 55 " " "20 " " 

56 to 60 " " " 30 

Section 12. Nothing in section 11 of this article shall affect the 
benefits due under any membership taken before member reached the 
age of 46 years and kept continuously in force thereafter. 

Section 13. Members shall be eligible for sick and death benefits 
after thirty days from the date of their becoming members. In the 
^vent of a member later taking additional benefits, such additional 



47° APPENDIX 

benefits become effective at the expiration of thirty days from the 
date of collecting the increased dues. 

Section 14. Benefits shall be paid as promptly as possible after 
the required proofs of claims, but the directors shall have power to 
stop or withhold benefits in the cases of members who are able to 
work or are otherwise found to be imposing on the association. 

Section 15. Members desiring to leave the county while drawing 
disability benefits, must arrange satisfactorily with the directors for 
further and sufficient proof of disablement, or surrender all rights 
to further benefits. 

Section 16. The fact that a member drawing disability benefits, 
frequents saloons or engages in any work either personal or other- 
wise, shall be evidence of his ability to work, and benefits shall 
cease, unless sufficient excuse is furnished satisfactory to the physician 
and directors. 

Section 17. No benefits shall be paid for disability resulting from 
ailments existing prior to joining the association, unless specifically 
accepted by the directors at time of joining. 

Section 18. Disability arising through intoxication, immorality, 
or wilful misconduct, shall not be subject to disability benefits except 
by the consent of the directors. 

Section 19. Disability benefits shall begin on the fourth day 
but not earlier than the day on which the secretary receives notice 
of disability, except by consent of the directors. In as much as the 
first great care is to keep members well, it is the duty of each member 
to notify the secretary immediately of any threatened disability of 
his or herself or any other member. 

Section 20. Should a member be discharged by the company while 
drawing disability benefits, he shall not forfeit his rights to such 
benefits unless the directors learn that the discharge was for mis- 
conduct, when the benefits shall cease not later than the expiration 
of one month from his discharge, subject to the judgment of the 
directors. 

Section 21. A member having been reinstated after suspension 
or expulsion, cannot participate in benefits until three months after 
reinstatement, except by consent of directors. 

Section 22. Any conscientious efforts on the part of disabled 
members to return to work, which may actually result in relapse, 
causing two or more short periods of disability instead of one longer 
one, shall not deprive them of the benefits they would have received, 



BY-LAWS — DODGE RELIEF ASSOCIATION 471 

had they remained away from work. They shall not however, be 
paid benefits for the days on which they work. 

Section 23. Convalescent members able to work part time, may 
receive partial benefits in keeping with the facts at the discretion 
of the directors. 

Section 24. Benefits are meant for the relief of members and 
their families and cannot be paid to loan sharks or anyone holding 
unjust or usurious claims against members or their families or to 
pay gambling debts. 

Article IX — Periods of Benefits 

Section I. Temporary disability benefits shall be payable for a 
period not to exceed thirteen weeks for any one disability, nor more 
than twenty-six weeks in any one calendar year. 

Section 2. In computing these benefits, Sundays shall not count. 

Section 3. A member must remain at work at least four weeks 
after receiving a full term benefit of thirteen weeks, before he is 
eligible for another temporary disability benefit for sickness. 

Section 4. Only one benefit, not to exceed thirteen weeks, shall 
be paid for one disability or for any one chronic disease or recurring 
disability. 

Section 5. Disability beginning less than four weeks after a 
previous disability shall be considered as part of the former disability 
unless there is positive evidence to the contrary. 

Article X — Dissolution 

Section 1. This association shall not be dissolved as long as 
ten members in good standing desire to continue it, but its by-laws 
or method of doing business may be altered at the will of the 
association. 

Section 2. In case of dissolution, the funds, except as provided 
in section 3 of this article, shall either be turned over to a succeeding 
organization, or divided among the members who have been in good 
standing for at least six months prior to dissolution, pro rata accord- 
ing to the number of 'months each has been in good standing since 
joining, or turned over to some charitable enterprise. 

Section 3. Any property or money loaned or donated by the 
Dodge Manufacturing Company or its subsidiaries, or donations 
received with specific stipulations, shall not be divided among mem- 
bers but shall be disposed of as may be determined by the donors. 



472 APPENDIX 



Article XI 



Section i. At all meetings of the association the following order 
of business shall be observed, except that by unanimous consent of 
those present it may be changed: 

Reading and approval of minutes 

Report of secretary 

Report of treasurer 

Report of auditing committee 

Report of actuary 

Reports of committees 

Communications, correspondence and bills 

Unfinished business 

New business 

Section 2. Each member of the association shall be furnished a 
copy of these by-laws. 

Section 3. Cushing's Manual shall be followed in all rules of 
order not covered in these by-laws. 

Section 4. These by-laws may be amended at any meeting of 
the association, provided the proposed amendments are posted at 
least two weeks before action is taken. All by-laws or amendments 
to be effective immediately after passage, unless otherwise provided. 

Special Membership 

Those who for at least 30 days prior to the time of adopting 
these by-laws are members of the existing Dodge Manufacturing 
Company Mutual Relief Association, in either class "A" or "B" 
are not compelled to change to the new forms of membership, but 
under the title of "Special Members" may continue to pay the same 
dues as formerly and receive the same benefits as before. No addi- 
tional members will be taken under this provision. 

Dues are collected through the paymasters; thus the association 
has no expensive system for collecting dues. No salaries are paid 
the officers and all the money goes for the benefit of members. Hence 
the liberal benefits when compared with insurance companies paying 
25 per cent commission for selling and 25 per cent for expenses, 
leaving only half their receipts for benefits. 

Don't take chances with your health any more than you would 
in accident prevention. Caution the other fellow if he is careless. 



APPENDIX G 

BY-LAWS AND FORMS, CHENEY BROTHERS 

BENEFIT ASSOCIATION AND PENSION 

REGULATIONS 1 

Constitution 



Article I — Name 

Section I. This association shall be known as the Benefit Associa- 
tion of Cheney Brothers. 

Article II — Objects 

Section I. The objects of this association are to provide its 
members with a certain income when sick or when disabled by- 
accident; to provide for families or beneficiaries of members a 
definite sum in the event of death; and to maintain a fund to be 
used to aid in the support of members in their old age and in certain 
contingencies of family life. 

Article III — Membership 

Section I. Membership in the association shall be limited to 
the employees of Cheney Brothers and of any company owned, 
operated, or controlled by Cheney Brothers. 

Section 2. Eligibility to vote on any matters arising under this 
constitution or the by-laws of the association shall be limited to 
members subject to a liability for contributions. 

Article IV — Organization 

Section 1. This constitution having been accepted by Cheney 
Brothers and by applicants for membership, in accordance with the 



See Chapter XXV. 

473 



474 APPENDIX 

original proposal of Cheney Brothers to the applicants for member- 
ship, is a binding contract upon Cheney Brothers and upon the 
members of the association, according to the terms- herein contained 
subject to the limitations of article VII. 

Article V — Administration 

Section I. The officers of the association shall be a president, 
a vice-president, a treasurer, a superintendent, an assistant superin- 
tendent, a medical director, and a board consisting of eleven trustees, 
to be known as the board of trustees. 

Section 2. The president and vice-president shall be selected by 
the board from among its own members on the nomination of the 
trustees representing the members. The treasurer of Cheney Brothers 
shall be the treasurer of the association and shall also be ex officio 
a member of the board of trustees. The superintendent, assistant 
superintendent, and medical director shall be appointed by the board 
of trustees on the nomination of the trustees representing the com- 
pany. The superintendent shall be ex officio the secretary of the 
board of trustees and of the association. The members of the associa- 
tion shall appoint annually one trustee in the method prescribed in 
the by-laws, and the directors of Cheney Brothers shall also appoint 
annually one member of the board of trustees. The officers shall 
hold office during the pleasure of the board. All trustees shall serve 
for five years and until their successors are selected and qualified. 
A vacancy caused by the death or resignation of a trustee representing 
the members shall be filled by the trustees representing the members. 
A vacancy caused by the death or resignation of a trustee representing 
Cheney Brothers shall be filled by the directors of Cheney Brothers. 
Six trustees shall constitute a quorum for the transaction of business. 

Section 3. The board of trustees shall annually at their regular 
meeting in April, organize by the election of a president, a vice- 
president, a superintendent, an assistant superintendent, a medical 
director, an operating committee, a finance committee, and an auditing 
committee. The operating committee shall consist of three members, 
one to be chosen by the trustees representing the company; one to 
be chosen by the trustees representing the members; and the third 
shall be the superintendent. The finance committee shall consist of 
three members, one of whom shall be the treasurer of the association; 
one shall be chosen by the trustees representing the company from 



BENEFIT ASSOCIATION — CHENEY BROTHERS 475 

the trustees representing the members; and the third shall be chosen 
by the board on the nomination of the trustees representing the mem- 
bers. The auditing committee shall consist of two persons, not 
trustees, one of whom shall be chosen by the trustees representing 
the members and the other shall be chosen by the directors of Cheney 
Brothers. 

Article VI — Duties of Officers and Committees 

Section i. The president shall preside at all meetings of the 
association and of the board of trustees. He shall enforce all the 
rules of the association and perform such other duties as may be 
required by the board of trustees. 

Section 2. The vice-president shall perform the duties of the 
president in the absence of the latter. 

Section 3. The treasurer shall receive and hold the current 
funds of the association, depositing the same at his discretion with 
Cheney Brothers to the credit of the association; or in bank or banks 
approved by the finance committee. He shall deposit the surplus 
funds and securities of the association in a bank or safe deposit 
company approved by the finance committee, under such restrictions 
as to access to the same as the board of trustees may from time 
to time establish. He shall disburse money for the payments of 
claims or the investigation thereof only upon the order of the 
operating committee, and for other accounts or investments only 
upon the order of the finance committee, except as provided in 
section 7 of this article. In case of the absence of the treasurer, 
or when he is unable to act, either the president or vice-president 
of Cheney Brothers may perform all of his duties and act in his 
place and stead. 

Section 4. The superintendent shall keep and preserve all records 
of the association and of the board of trustees; keep the accounts 
of the association, under the direction of the treasurer, and shall 
perform such other duties as may be required of him by the operating 
and finance committees. He shall examine and subject to the approval 
of the operating committee accept or reject all applications for 
membership. He shall make a quarterly report to the board of 
trustees of the activities of the association and such other reports 
as the trustees may from time to time require. He shall also, keep 
a detailed record of all payments for compensation under paragraph 



476 APPENDIX 

(e) of section I of article VII, and of all receipts from Cheney 
Brothers on account thereof. 

Section 5. The assistant superintendent shall perform the duties 
of the superintendent in the absence of the latter, and such other 
duties as may be required of him by the operating committee, or 
the board of trustees. 

Section 6. The medical director shall make a physical examina- 
tion of applicants for membership, if required by the superintendent. 
He shall supervise the care and treatment of all persons injured 
in the service of the company, and shall make reports to the operating 
committee from time to time of the condition of such injured persons, 
and perform such other duties as may be required of him by the 
operating committee, or the board of trustees. 

Section 7. The operating committee shall approve all claims 
before they are passed to the treasurer for payment and the treasurer 
shall pay no claims without the approval of the committee, except 
when directed by a vote of two-thirds of the board of trustees. This 
committee shall appoint and fix the remuneration of all visiting 
committees, employ inspectors and take whatever steps may be neces- 
sary to fully investigate the validity of claims against the association. 
It shall supervise the collection of all contributions not taken out of 
the wages of members and the receipting therefor; shall approve 
disbursements of every kind before they are paid by the treasurer; 
and may also investigate and recommend precautions to be taken 
in every department of the company to prevent accidents and illness. 
In the case of payments which are to be made by Cheney Brothers 
the committee shall examine and approve the accounts and claims 
and transmit them to the auditing department of Cheney Brothers for 
audit and payment. The committee shall perform such other duties 
as may be assigned to it from time to time by the board of trustees. 
In case of the absence of a member of the operating committee, 
or when he is unable to act, any trustee representing the same 
interest as the absent or incapacitated member may act in his place 
and stead. 

Section 8. The finance committee of the association shall invest 
the funds of the association in accordance with the laws of the state 
of Connecticut governing the investments of life insurance companies, 
and shall make a report of such funds and investments to the trus- 
tees at each regular meeting of the board. At the end of every 
third fiscal year the committee shall estimate the amount of contribu- 



BENEFIT ASSOCIATION — CHENEY BROTHERS 477 

tions to be required of the members for the following period of three 
fiscal years and shall report the same to the board of trustees for 
approval. The committee shall also recommend to the board of 
trustees from time to time such changes in the scale of benefits to 
be paid by the association as to the committee shall seem proper. 

Section 9. The auditing committee shall before each annual meet- 
ing of the board of trustees audit the books, accounts, and vouchers 
of the treasurer and superintendent and shall certify audit to the 
board of trustees. This committee may, with the approval of the 
board of trustees, employ expert assistants. 

Section 10. The board of trustees shall, at the end of each fiscal 
year, make a report to the members of the business and financial 
transactions of the association; and shall have the general control 
and management of the affairs of the association. 

Article VII — Contract With Cheney Brothers 

Section 1. Cheney Brothers and the association having joined 
in the furtherance of the objects set forth in article II of this 
constitution for the good which will accrue to both ; Cheney Brothers 
(having been duly authorized thereunto by the vote of the stock- 
holders and directors to enter into the agreement in this article 
contained), upon the formation of this association and the adoption 
of this constitution and the by-laws of the association herein referred 
to, hereby agree to and with the association as follows : 

(a) To take charge of such funds and securities of the associa- 
tion as may be entrusted to it by the treasurer and to be responsible 
for their safe-keeping. 

(b) To guarantee the payment of all sick and accident benefits 
and death claims approved in accordance with this constitution and 
the by-laws of the association, provided that any payments made by 
Cheney Brothers to make up for any deficiency in the funds of the 
association during a period of three fiscal years shall be repaid to 
the company out of any surplus funds which shall be accumulated 
during the same three-year period. 

(c) To pay in each fiscal year in monthly instalments into the 
Employees' Benefit Fund an amount equal to 25 per cent of the 
sum of all of the contributions made by members during such fiscal 
year. 

(d) To supply the necessary facilities and room for conducting 



478 APPENDIX 

the business of the association and to pay the operating expenses, 
including the salaries of officers and assistants. 

(e) To pay to all employees such compensation for personal 
injury arising out of and received in the course of employment, 
or on account of death resulting from an injury so sustained, and 
provide such medical, surgical, and hospital service and burial ex- 
penses, as may be required by law. 

(f) To pay accident benefits as provided in the by-laws to full 
and limited members during such portion of any terms of total and 
continuous incapacity to perform work of any character for which 
compensation is not payable by law, provided that such incapacity 
results from bodily injuries affected through external, violent, and 
accidental means independently of all other causes and sustained 
while performing duty in the service of the company and not due 
to the member's own wilful or gross carelessness or intoxication or 
to disobedience of rules reasonably designed for the protection of 
employees. 

(g) Provided, however, that Cheney Brothers shall have the right 
and power to appoint and remove all employees of the association 
whose appointment is not specially provided for in the constitution 
of the association. And provided further that the enactment of 
legislation which will materially alter the laws which now regulate 
the relations between Cheney Brothers and their employees, or which 
shall establish a scheme of compulsory compensation to employees, 
shall give to Cheney Brothers the right forthwith to terminate this 
contract. And provided further that all moneys paid to a member 
of the association for benefits for personal injuries sustained by an 
employee, arising out of or in the course of employment, or to 
beneficiaries for death resulting from injuries so sustained, in ac- 
cordance with the laws governing the compensation of such injuries, 
of any state, or amendments thereto, shall be taken to be, to the 
extent thereof, in lieu of the benefits provided by this constitution, 
and shall be deducted from the benefits payable to such member 
or beneficiaries under the provisions of this constitution and the 
by-laws of the association. The acceptance by Cheney Brothers of 
the obligations imposed by the aforesaid acts and of any amendments 
thereto shall not affect the right of Cheney Brothers to terminate 
this contract as provided in this paragraph, but such right may be 
exercised at any time hereafter or upon any amendment to the 
aforesaid acts. 



BENEFIT ASSOCIATION CHENEY BROTHERS 479 

Article VIII — Eligibility to Benefits and Liability For 
Contributions 

Section I. Every person under contract of service or hire, written 
or spoken with Cheney Brothers, or with any company owned, 
operated or controlled by Cheney Brothers, becomes by reason of 
entering such service, and during such extent of his term of service 
as he is eligible to legal compensation for any class of personal 
disabilities, a member of the benefit association and is entitled to 
whatever benefits the law provides, subject to such restrictions as 
may govern by law the relations of employer and employee. 

Section 2. Any member of the benefit association may decline 
to become eligible, in whole or in part, for any benefits which require 
a contribution by him, unless such contribution is established by law. 

Section 3. The benefit association may decline because of physical 
defects to accept a liability to any member for any benefits in whole 
or in part except such as are established by law and may regulate 
the voluntary contributions in proportion to the liability accepted. 
Nothing herein contained shall give the association, except as pro- 
vided in article VII, during the continuance of contributions of any 
member, the right to withdraw from a liability to him as a full or 
limited member which it has once accepted without his consent, 
unless such acceptance was induced by fraudulent or untrue state- 
ments or by concealing any facts as to the existence of physical 
defects. 

Section 4. Eligibility to any benefits over and above those estab- 
lished by law shall be based upon this constitution and the by-laws 
of the association and the issuing of a certificate of full or limited 
membership. Such certificate shall be in such form as the operating 
committee, from time to time, shall prescribe with the approval of the 
board of trustees. 

Article IX — Definitions 

Section 1. The terms "Cheney Brothers" or "The Company" 
as used in this constitution or the by-laws of the association shall 
include any company owned, operated, or controlled by Cheney 
Brothers. Masculine terms include males, females, and legal per- 
sons. "Employee" shall be taken to mean any person who has entered 
into or works under any contract of service or hire, for pay, written 
or spoken, with the company. 



480 APPENDIX 



Article X — Amendments 

Section 1. The board of trustees may propose amendments to 
the constitution. Such amendments shall not become effective until 
they shall have been accepted by the board of directors of Cheney 
Brothers and approved by a majority of the members of the associa- 
tion, who are eligible to vote under article III. 



Notice of Membership 

South Manchester, Conn., 

, 19 •••• 

M 

You are hereby notified that from the date of your entering the 
employment of Cheney Brothers you have been enrolled as a statutory 
member of the Benefit Association of Cheney Brothers and are 
thereby eligible to any compensation provided by law. 

You are hereby further notified that you are eligible for full 

limited '. . membership in class 

of such association, entitled to the benefits thereof and subject to the 
conditions of the constitution and by-laws of the association, a copy 
of which is enclosed herewith. 

Unless written notice of your wish not to accept such membership 

is received before you 

will be enrolled as a full limited 

member of class dating from , a 

full certificate of full limited membership 

will be issued to you and a deduction of ($) 

Dollars per week will be made from your wages thereafter. 

Signed : 

> 

Superintendent Benefit Asso. 

Note: Forms for the rejection of membership may be obtained 
from the superintendent of the benefit association at the main office 
of Cheney Brothers. 



BENEFIT ASSOCIATION — CHENEY BROTHERS 4^1 



Terms of Membership 

Membership is accepted by the person named in this certificate 
upon the following terms : 

(a) That he shall be bound by the constitution and by-laws of 
the association and by all amendments thereto, and all rules and 
regulations in force during the term of their membership. 

(b) That his habits of life are correct and temperate; that he 
is in sound condition, mentally and physically, except as set forth 
in the statement made by him to the superintendent or his agent. 
(Article VIII, section 13 of the by-laws.) 

(c) That unless a member shall otherwise designate in writing, 
with the approval of the superintendent of the association, the death 
benefits in excess of those required by law under article VII, and 
death benefits from sickness under articles V and VI of members 
whose membership commenced after September I, 1915, shall be paid 
to the dependents of the deceased, if any, in accordance to the 
relative degrees of their dependency existing at the time or times 
of payment, as determined by the trustees, whose decision shall be 
final as to all questions of dependency. 

That unless a member shall otherwise designate in writing with 
the approval of the superintendent of the association death benefits 
described in the above paragraph in case there are no dependents, 
and death benefits arising from sickness under articles V and VI on 
account of the death of members whose membership commenced 
prior to September 1, 1915, shall be payable as follows and in the 
following order: (1) to the widow (husband), if surviving; or 
(2) if there be no widow (husband) to the surviving children and 
the children of any deceased child or children, the children of a 
deceased child to take the parent's share; or (3) if there shall be 
no child of said member, or child or children of a deceased child 
or children, to the surviving parents or parent; or (4) if there be 
no surviving parent, then to the next of kin, payment in behalf 
of such kin to be made to the executor or administrator; or (5) 
if there be no next of kin, or if claim shall not be made by the 
person or persons entitled thereto within two years from the date 
of the member's death, the amount of the death benefit shall be 
paid into and become a part of the reserve fund of the association. 
(Article VIII, section 11 of the by-laws.) 

(d) That if any statement made by the member to the superin- 



4&* APPENDIX 

tendent or his agent shall be untrue or fraudulent or if he shall 
have concealed any facts or shall have resigned from or left volun- 
tarily or otherwise the service of Cheney Brothers or any company 
owned, operated, or controlled by it, all his rights and privileges 
to full or limited membership in the association and claims to benefits 
arising therefrom shall terminate, except his right to the amounts 
contributed to the annuities specified in article IX of the by-laws 
and except that the termination of employment shall not, in the 
absence of any other causes of termination of membership, deprive 
him of benefits to which he may be entitled by reason of disability 
beginning and reported before and continuing after the termination 
of employment. (Article I, section 6. article VIII, section 13 of 
the by-laws.) 

(e) That Cheney Brothers by its proper agent may during the 
continuance of his membership apply as a voluntary contribution 
from any wages earned by him in their employment such contributions 
as the trustees may establish for the purpose of securing the benefits 
provided in the by-laws for a member of this association. 

(Article III, section 2 of the by-laws.) 



Form of Certificate of Membership 

No Date 

This Certifies that 

of in the state of Connecticut, is a (full) 

(limited) member of the Benefit Association of Cheney Brothers, 
entitled to the benefits and privileges of membership and subject 
to the obligations thereof in accordance with the constitution and 
by-laws of the association and the conditions on the reverse side of 
this certificate. 

Membership shall be in effect from the day of 

19 

Signed by 



Superintendent of the Benefit Association of Cheney 
Brothers. 



BENEFIT ASSOCIATION — CHENEY BROTHERS 4^3 



By-Laws 

Article I — Membership — Eligibility 

Section I. The membership of the association shall be composed 
of full, limited, and statutory members. 

(a) Every person not over forty-five years of age, in the employ 
of the company, shall be eligible for full membership, subject to 
the approval of the operating committee. Full members are eligible 
to statutory, accident, sick, annuity, and death benefits, as prescribed 
by these by-laws. 

(b) Any person in the employ of the company, over forty-five 
years of age, or any employee not eligible to full membership, may 
be eligible to limited membership subject to the approval of the 
operating committee. Limited members are eligible to statutory, 
accident, and sick benefits only, as provided by these by-laws. 

(c) Every person under any contract of service or hire, written 
or spoken with the company shall be a statutory member during 
such part of his term of service as he is not enrolled as a full or 
limited member, and is eligible to legal compensation for any class 
of disabilities. Statutory members shall be entitled to only such 
benefits or compensation as is established by law, and shall be subject 
to no contributions except such as may be prescribed by law. 

Section 2. The operating committee may reject any employee 
of the company for full or limited membership because of physical 
defects; but any person rejected for full membership may, with the 
approval of the operating committee, be accepted as a limited member, 
provided he will agree to waive his right to benefits because of 
disability due to the specific physical defects which would otherwise 
operate to exclude him. 

Section 3. Any employee may decline to accept, or having ac- 
cepted, to continue in any class of membership. 

Section 4. Within two weeks of the date on which a person 
enters the employ of the company, the operating committee will 
notify him, if eligible, of the grade and class of membership other 
than statutory which will afford the greatest amount of benefits 
to which the person is eligible and acceptable. If written notice of 
declination to accept such membership is not received within two 
weeks from the date of the notice, the person will thereupon be 
enrolled as a full or limited member and will become subject to the 



4^4 APPENDIX 

contributions fixed for the grade and class of membership to which 
he is assigned, unless he shall request an earlier enrolment. 

Section 5. A physical examination by the medical director may 
be required of any person before he is accepted for full or limited 
membership, if deemed necessary by the superintendent. 

Section 6. When a member shall leave the service of Cheney 
Brothers, voluntarily or otherwise, his membership in the association 
shall end on the hour of the termination of his employment, and 
he shall not thereafter be entitled to any benefits except because of 
disability beginning and reported theretofore, and continuing there- 
after without interruption, and for his contribution towards purchase 
of an annuity as specified in article IX of these by-laws. 

Article II — Classification of Membership 

Section I. Members shall be divided into five classes, according 
to average weekly wages, reduced to a fifty-hour week basis. The 
classes shall be as follows: 

Class A. Members receiving not more than $7.50 weekly. 
Class B. Members receiving more than $7. 50 and not more than 

$12.50 weekly. 
Class C. Members receiving more than $12.50 and not more 

than $17.50 weekly. 
Class D. Members receiving more than $17.50 and not more 

than $22.50 weekly. 
Class E. Members receiving more than $22.50 weekly. 

Section 2. Applicants for membership, already in the service 
of the company, shall be assigned by the superintendent to the class 
which includes their average weekly wages for the last completed 
pay period of thirteen weeks. Those who shall have been employed 
less than thirteen weeks shall be assigned to the class which includes 
the average weekly wages for the weeks actually employed. All 
averages of weekly wages shall be ascertained by dividing the amount 
received by the hours worked and multiplying the quotient by fifty. 

Section 3. A new employee applying for membership, if engaged 
at a specified wage, shall be assigned to the class which includes 
his wage ; otherwise he shall be assigned to class A ; but any such 
new employee may be assigned to any higher class which he may 
select with the approval of the superintendent. 



BENEFIT ASSOCIATION CHENEY BROTHERS 4&5 

Section 4. A reclassification of members shall be made annually 
by the superintendent. Members, whose average wages shall have 
increased or decreased beyond the limits of the class to which they 
were assigned, shall be re-assigned to a higher or lower class to 
correspond to their wage earnings; provided, that the superintendent 
may at his discretion upon request of a member assign any member 
to the next higher or lower class. 

Article III — Contributions by Members 

Section 1. The word ''contribution" as used in these by-laws 
shall mean such designated portion of the wages payable by the 
company to the association on order of the employee as the board 
of trustees shall have fixed for the purpose of securing to him the 
benefits of the association, or such cash payments as it may be neces- 
sary for a member to make for this purpose. 

Section 2. Contributions shall be payable monthly in advance 
and shall be deducted from the wages of the members on the first 
regular pay-day of each month. If sufficient wages to cover the 
monthly contribution shall not have been earned in any month by 
a member, he shall pay in cash the amount of the contribution, 
or that proportion not covered by his earned wages. The weekly 
pay cards issued by Cheney Brothers may contain an authorization 
to Cheney Brothers, by its proper agents, to apply from any wages 
earned in their employ such amounts as the board of trustees may 
fix under sections 1 and 4 of this article. No member over one 
month in arrears shall receive any benefit for any accident which 
shall be sustained, or for any sickness which shall have commenced, 
or death resulting therefrom, during the time in which he was in 
arrears; nor thereafter until he shall have resumed full payment 
of his contributions. 

Section 3. If by reason of error the contribution of a member 
for any amount shall not be deducted from his wages, such error 
shall not debar him. or his beneficiary from benefits to which they 
would otherwise be entitled, and the error shall be corrected and 
deduction made on the next pay-day from the wages earned by such 
member. 

Section 4. Contributions of members shall be such amounts as 
the board of trustees may from time to time determine, not exceeding, 
however, 3 per cent of the mean wage of the class to which the 



486 APPENDIX 

member belongs. Until changed by the board of trustees, such 
contributions shall be i^ per cent of the class to which the member 
belongs for full members, and I per cent of such mean wage for 
limited members. 

Section 5. Any member who shall be temporarily relieved from 
service for a period not exceeding ninety days may retain his 
membership by paying monthly in advance the same contribution 
as was made by him in the two months before he is so relieved 
from service. 

Section 6. Any member who shall leave the service during a 
month for which he shall have paid contributions shall receive back 
an amount equal to that proportion of the month's time for which 
he will be off the company's pay-roll ; but he shall receive no further 
amount, except his interest in an annuity, as hereinafter pro- 
vided. 

Section 7. Contributions shall be made during disability from 
sickness or accident and shall be deducted from any amounts payable 
for benefits or death claims. 

Article IV — Funds and Accounts 

Section 1. The contributions of members shall be credited to 
each member's personal account and deposited in a fund to be known 
as the "Benefit Fund." The company's annual contribution of 25 
per cent of the amount contributed by the members shall also be 
deposited in this fund. The benefit fund shall be used only for the 
payment to members of sick benefits and death claims resulting 
from disease, and for benefits for an injury other than the results 
of an accident in the company's service, as specified in article VII, 
section 2, of these by-laws. The amount remaining in the benefit 
fund at the end of each fiscal year, less the amount which will be 
required to liquidate claims in process of adjustment, shall be trans- 
ferred to a fund to be known as the "Reserve Fund." 

Section 2. The reserve fund shall be used only for the payment 
of annuities to members and the payment of withdrawals as herein- 
after provided, but the company may be reimbursed out of this fund 
at the end of any three-year period for moneys which it shall have 
paid during the same three-year period (in accordance with provision 
(b) of the contract between the company and the association set 
forth in article VII of the constitution), but not to a greater extent 



BENEFIT ASSOCIATION — CHENEY BROTHERS 4%7 

than the surpluses accruing in the benefit fund during the whole 
of that three-year period. 

Article V — Sick Benefits and Death Claims Resulting From 

Sickness 

Section I. Benefits for sickness caused by diseases to which both 
sexes are not liable shall not be paid for the first six working days 
of disability, nor for Sundays. 

Benefits for sickness caused by diseases other than those stated 
above shall not be paid for the first three working days of disability, 
nor for Sundays. 

In all cases of sickness the operating committee may refuse 
to allow benefits until the expiration of a full working day after 
the receipt of a notice of disability. The operating committee may 
also refuse to pay sick benefits for disabilities resulting from any 
illness which has not required the attendance or examination of a 
registered physician. 

Section 2. Payments of one-half of the mean weekly wage of 
the class to which the member is contributing for the first fifty-two 
weeks of allowed disability and one-fourth of such mean weekly 
wage for the second fifty-two weeks of such disability (in accordance 
with the schedule attached to this article), shall be made monthly 
to a member while disabled by sickness or by an injury other than 
the result of an accident in the company's service, as specified in 
article VII of these by-laws. 

Nothing herein contained shall prevent the payment by the com- 
pany upon the application of the member of a retiring pension 
in lieu of all benefit association benefits, except such as are provided 
for in article VI, section I of the by-laws. 

Section 3. A relapse, if due either in whole or in part to the 
disease or injury which caused the original disability, shall con- 
stitute a part of such disability in the computation of the term 
for which benefits shall be paid, as specified in section 2 of this 
article. 

Section 4. Benefits for disability due to pregnancy shall not 
exceed $50. Such benefits shall be in lieu of all other benefits for 
disability preceding directly or indirectly from this cause, and shall 
only be payable upon compliance with the following conditions: 

(a) After the birth of a legitimate child or children to a lawfully 



488 



APPENDIX 



married woman, after completion of not less than six months of 
pregnancy. 

(b) The woman must have been a member of the Benefit Associa- 
tion of Cheney Brothers for at least twelve months immediately 
preceding confinement. 

(c) The total absence from service shall not be less than fourteen 
weeks, of which at least eight weeks shall have been previous to 
confinement, except in premature cases where the doctor shall certify 
to such fact. 

(d) The member shall have been attended by a registered physi- 
cian during confinement. 

Section 5. In case of death due to sickness or to an injury 
other than by an accident in the company's service (as specified in 
article VII of these by-laws), an amount equal to one-half of one 
year's mean wages of the class to which the member was contributing 
shall be paid in monthly instalments during one year after such 
death to the beneficiary or beneficiaries of the deceased member. 
The operating committee may anticipate the payment of any one or 
more of such monthly instalments. 



Section 6. Schedule oe Sick and Death Benefits 





Class 
A 


Class 
B 


Class 
C 


Class 
D 


Class 
E 


Those receiving f more than 
weekly \ not more than . . 


$7-5o 


$7-5o 
12.50 


$12.50 
17-50 


$17.50 
22.50 


$22.50 


Mean Wage of C 


lass 


5.00 


10.00 


15.00 


20.00 


24.00 




Benefit per j 1st 52 weeks 
week \ 2d 52 weeks. . . . 


2.50 
1.25 


5.00 
2.50 


7-5o 
3-75 


10.00 
5.00 


12.00 
6.00 


Death Claims 


130.00 


260.00 


390.00 


520.00 


624.00 




Weekly 

Contribution 


■ i£% of mean 
wage — full 
members . . . 
1% — limited 
members . . . 


0.07^ 
•05 


0.15 
.10 


0.22^ 
•15 


0.30 
.20 


°-37h 
•25 



Limited membership does not purchase death claim or annuity. 



BENEFIT ASSOCIATION CHENEY BROTHERS 4 8 9 

Article VI — Death Benefits Continued After Leaving the 
Active Service and Additional Death Benefits 

Section I. Members retiring from active service on a pension 
or annuity, but performing some service for the company suited 
to their capacity, may retain a death benefit not exceeding that of 
class A, $130. In order to retain such death benefit they shall 
contribute 25 cents per month for each $100 of death benefits. Their 
contributions shall be deducted from their pension or annuity and 
credited to the association. 

Section 2. Upon passing a satisfactory medical examination full 
members not over fifty years of age may acquire additional death 
benefits of not to exceed twice the amount of the death benefit of 
the class to which they are contributing. 

Section 3. The rate per month of contributions for death benefits, 
additional to the death benefit of the member's class, shall be 
determined by the age of the member at the time of taking the 
additional death benefit, as follows: For each $100 of additional 
death benefit for a member not over forty years of age, 12^ cents 
monthly; over forty and not over fifty years of age, 17 cents monthly. 
If a member, having additional death benefit, shall increase the 
amount when his age requires a higher rate than he before con- 
tributed, the higher rate shall apply only to the increase. 

Article VII — Accident Benefits and Death Claims Resulting 
from Accidents Other Than Those Required by Law 

Section 1. Accident benefits other than those required by law 
are payable to full and limited members only, and when allowed 
shall date from the hour when the injured person was examined by 
the medical or assistant medical examiner and his injury approved 
as constituting a disability under sections 2 and 3 of this article. 

Section 2. In order to entitle a member or his beneficiaries to 
accident benefits other^ than those required by law the injury must 
be reported to the foreman of the department in which the member 
was engaged within twenty-four hours after the injury was sus- 
tained, not including Sundays or legal holidays. It must be shown 
that incapacity or death resulted from bodily injuries affected through 
external, violent, and accidental means independently of all other 
causes and that such injuries or death were sustained during the 



49° APPENDIX 

performance of duty in the service of the company or while volun- 
tarily protecting the company's property or interests. Accident bene- 
fits under this article will be paid for the results of frostbite or 
sunstroke but not for any injury, disability, or death due to the 
member's own wilful or gross carelessness or intoxication or to the 
disobedience of rules reasonably designed for the protection of em- 
ployees, or from or while violating law or for injuries or death 
intentionally self-inflicted. Benefits for accidental injuries excluded 
under this section and not required by law may be paid as sick 
benefits or death by disease under article V and article VIII, section 
7 of the by-laws; but the operating committee may make exceptions 
in any case where the rules herein set forth would be obviously 
unjust. 

Section 3. Where an accidental bodily injury for which benefits 
shall be payable under this article shall wholly disable and prevent 
a member from performing work of any character, a monthly pay- 
ment of an amount equal to one-half of his average weekly wages, 
as defined in article XI, shall be made for such part of the period 
of total disability as compensation shall not be payable by law. If 
the disability aforesaid shall be continuous and permanent and finally 
result in death within six years, the monthly benefits provided for 
in this section shall be paid to the member while he shall survive 
and for the remainder of the six years to his beneficiary or benefi- 
ciaries. 

Section 4. In- all cases of accidental injuries covered by this 
article surgical and medical attendance, and hospital treatment when 
necessary, in addition to those required by law, will be provided 
under the direction of the medical director during the entire period 
of disability. 

Section 5. To all claims for accident benefits and death claims 
resulting from accidental injuries under this article an additional 
allowance shall be made the member or the beneficiary or benefi- 
ciaries, as the case may be, of 1 per cent of the average weekly 
wages; (as ascertained in article XI), for each year of the member's 
service over five years; and in the case of married members sup- 
porting their families, an additional allowance of 5 per cent shall 
be made for each child under sixteen years of age who is dependent 
upon the member for support; provided, however, that in no case 
shall the benefits paid be increased by more than 25 per cent of the 
average wage of the injured member. 



BENEFIT ASSOCIATION — CHENEY BROTHERS 49* 

Section 6. In the case of a death resulting solely from an 
accidental injury covered by this article an additional benefit will 
be paid to cover funeral expenses but not to exceed $100. 

Article VIII — Regulations Governing Sick and Accident Bene- 
fits and Death Claims 

Section I. If the death of a member shall result from suicide, 
whether sane or insane, before the end of the first year of member- 
ship, the beneficiary or beneficiaries shall be entitled to receive, as 
a benefit for such death, only 20 per cent of the member's actual 
contributions to the funds of the association. 

Section 2. Every disability or death shall be classed as due to 
either sickness, which includes injuries other than those received 
in the course of employment as determined by articles V and VI, 
or as due to accidents as determined by article VII and the com- 
pensation laws of the State of Connecticut. No member shall receive 
at the same time benefits for both sickness and accidents, as defined 
by said articles and laws, except that a member who is receiving 
legal compensation for permanent partial disability or dismember- 
ment, may, after the resumption of work, become eligible for sick 
benefits while still receiving compensation. 

Section 3. Benefits will not be paid for sickness which is caused 
or increased in whole or in part by sexual immorality, intoxication, 
or the use of intoxicating liquors or narcotics, or from or while 
violating the law; nor shall any benefits be paid in the case of death 
at the hands of justice or on account of death due to any of the 
causes enumerated in this section, except by vote of the trustees. 

Section 4. A member will not be entitled to any benefits during 
the time for which he is paid wages by the company, except benefits 
for partial incapacity after the resumption of work, as provided by 
law. 

Section 5. A member who shall decline to submit to examination 
by the medical director or nurse of the association or by the visiting 
committee, or who shall intentionally deceive such medical director, 
nurse, or visiting committee, or absent himself from his usual place 
of residence without the permission of the superintendent, shall not 
be entitled to either sick or accident benefits, or death claims. 

Section 6. The operating committee of the association shall decide 
all claims for benefits against the association or against Cheney 



49 2 APPENDIX 

Brothers, and their decision, subject to approval or revision upon 
an appeal to the board of trustees of the association, shall be final 
and conclusive upon all interests concerned. 

Section 7. A disability or death resulting from a slight wound, 
infection, or injury not immediately disabling, and not reported 
within twenty- four hours after the injury was sustained, not including 
Sundays or legal holidays, may, in the discretion of the operating 
committee, be classed as due to disease and considered as a claim 
for sick benefits or death resulting from disease under article V 
of the by-laws, unless otherwise required by law. 

Section 8. No assignments of benefits or death claims and no 
changes of beneficiary can be made without the written consent of 
the superintendent of the association. If any member or beneficiary 
shall cause an attachment or other legal process to be served upon 
the officers of the association, all benefits then due or which would 
thereafter otherwise become due and payable to such member or 
to his beneficiaries except the compensation required by law shall be 
paid into and become a part of the reserve fund of the association. 

Section 9. In case of injury in the service of the company the 
medical director may employ such medical assistance in consultation 
as he deems necessary, or the injured person with the consent of 
either the medical director or the superintendent, may call in con- 
sultation additional medical assistance. 

Section 10. In case any employee or his beneficiaries or de- 
pendents shall be entitled by the laws of Connecticut to any com- 
pensation for injuries received during the course of employment, 
and arising out of employment, greater than that herein provided, 
the amount paid to the employee, beneficiary, or dependent shall be 
that prescribed by such law. 

Section 11. Unless a member shall otherwise designate in writing 
with the approval of the superintendent of the association, death 
benefits in excess of those required by law under article VII, and 
death benefits from sickness under articles V and VI of members 
whose membership commenced after September 1, 1915, shall be 
paid to the dependents of the deceased, if any, in accordance to the 
relative degrees of their dependency existing at the time or times 
of payment, as determined by the trustees, whose decision shall be 
final as to all questions of dependency. 

Unless a member shall otherwise designate in writing with the 
approval of the superintendent of the association death benefits de- 



BENEFIT ASSOCIATION — CHENEY BROTHERS 493 

scribed in the above paragraph in case there are no dependents, and 
death benefits arising from sickness under articles V and VI on 
account of the death of members whose membership commenced 
prior to September I, 1915, shall be payable as follows and in the 
following order: (1) to the widow (husband) if surviving; or (2) 
if there be no widow (husband) to the surviving children and the 
children of any deceased child or children, the children of a deceased 
child to take the parent's share; or (3) if there shall be no child 
of said member, or child or children of a deceased child or children, 
to the surviving parents or parent; or (4) if there be no surviving 
parent, then to the next of kin, payment in behalf of such kin to be 
made to the executor or administrator; or (5) if there be no next 
of kin, or if claim shall not be made by the person or persons 
entitled thereto within two years from the date of the member's 
death, the amount of the death benefit shall be paid into and become 
a part of the reserve fund of the association. 

Section 12. The decision of the board of trustees shall be final 
and conclusive in any controversy with the association of whatsoever 
nature, or for or in relation to any claim for sick or accident benefits 
and annuities or for death benefits. 

Section 13. Any employee when accepting full or limited mem- 
bership may be required by the superintendent to make a written or 
oral statement as to whether his habits of life are correct and 
temperate and as to whether he is in sound condition mentally and 
physically, and if any statement so made shall prove to be untrue 
or fraudulent or if such statement shall have concealed any pertinent 
facts, the rights and privileges of full or limited membership herein 
shall be thereby terminated and forfeited. 

Article IX — Annuities 

Section 1. The term "annuity" as used herein shall mean a pay- 
ment to be made out of the reserve fund to a member, who shall 
be retired from active service by reason of age or physical condition 
under regulations adopted by the association. Such payment shall 
commence on the first day of the month next following retirement, 
and shall be continued thereafter until the death of the member. 

Section 2. The amount of the annuity to be paid to a member 
shall be fixed at the time of his retirement and based upon actuarial 
computations adopted by the board of trustees. 



494 APPENDIX 

Section 3. No member shall be entitled to receive an annuity 
for any period during which he shall receive wages from the com- 
pany, and the acceptance of an annuity shall release and discharge 
the association from any obligation to pay any disability or death 
benefits thereafter except as provided in article VI, section I, of 
these by-laws, or as are required by law. 

Section 4. Annuities shall be paid to members as follows: 

(a) To men over seventy years of age and women over sixty 
years of age, who shall have been contributors to the fund for ten 
years and who shall be retired from active service with the 
company. 

(b) To men over sixty-five years of age and women over fifty-five 
years of age, who shall have been contributors to the fund for 
fifteen years and who shall be retired from active service with the 
company because of incapacity of further work. 

(c) To men or women of any age who shall have been con- 
tributors to the fund for twenty years and who shall have become 
permanently incapacitated for further work in the service of the 
company. 

Section 5. A member who shall have contributed to the fund 
for one completed fiscal year or more and who wishes to withdraw 
may recover, without interest, one year after the termination of his 
membership that proportion of his contributions which the transfers 
to the reserve fund of the contributions of members during the years 
of his membership (less any deficiency payments reimbursed to 
Cheney Brothers) bear to the total contributions of all members 
to the benefit fund for the same time. But female members, at the 
time of marriage, whether leaving the employment of the company 
or not, may at their option receive, upon presentation of marriage 
certificate, the amount ascertained as aforesaid with interest at 4 
per cent compounded annually. 

Section 6. If a member shall die before receiving an annuity to 
which he has become entitled, there shall be paid to his beneficiary 
the amount payable in the case of a withdrawal from membership 
ascertained as provided in sections 4 and 5, but with interest at four 
per cent compounded annually. 

Section 7. An annuity shall revert to and become a part of the 
reserve fund of the association if the member otherwise entitled 
thereto shall assign or attempt to assign or transfer such annuity 
without the written approval of the superintendent. 



BENEFIT ASSOCIATION — CHENEY BROTHERS 495 



Article X — Statutory Benefits 

Section I. Statutory members shall receive the compensation 
established by and subject to the conditions of the compensation 
laws of the state of Connecticut. Full and limited members may 
receive in addition to said compensation, accident and death benefits 
as determined by articles VII and VIII of the by-laws. 



Article XI — Average Wages 

Section I. The average wages in all cases of compensation pay- 
able by law and of accident benefits under article VII, shall be 
ascertained by dividing the total wages received by the injured 
workman during the 180 calendar days immediately preceding that 
during which he was injured by the number of days he was regularly 
employed, provided in making such computation, absence for as many 
consecutive work hours as the workman was regularly employed in a 
working day shall be considered as absence for a work day, although 
not in the same calendar day and shall be deducted in determining 
the divisor above. 



Article XII — Fiscal Year and Meetings of Board of Trustees 

Section I. The fiscal year of the association shall be the twelve 
months beginning April I, and ending March 31. 

Section 2. The board of trustees shall hold stated quarterly 
meetings at the office of Cheney Brothers in South Manchester, 
Connecticut, at 2 o'clock in the afternoon of the second Thursday 
(Friday if Thursday is a legal holiday) of April, July, October, and 
January. 

Section 3. The annual election of officers of the board of trustees 
shall be held at the April meeting, which shall be known as the 
annual meeting of the board of trustees. 

Section 4. Special meetings may be held at any time on the 
call of the president and treasurer or of any three trustees, provided 
three days' notice in writing is given by the secretary of the associa- 
tion of such meeting to every member of the board of trustees; 
or on shorter notice if all of the members of the board of trustees 
agree thereto. 



496 APPENDIX 



Article XIII — Election of Trustees 

Section I. Not less than two weeks before the annual meeting 
of the board of trustees, the superintendent shall furnish every 
member of the association eligible to vote, with a blank form for 
the nomination of a trustee, as follows: 



Benefit Association of Cheney Brothers 
Ballot for Nomination of a Trustee 

I (name of member), a member of Class in the 

Department, do hereby nominate (name of 

nominee), as a Trustee of the Benefit Association of Cheney 
Brothers for the five year term from (date) to (date). 

Signed . 

The term of (name), as a Trustee of the Benefit Association of 
Cheney Brothers, expires on (date). 



The blank nominating ballot, as specified in this section, shall 
be placed in the pay envelope of each full or limited member, or 
distributed in any other manner which the trustees may prescribe. 
These ballots shall be filled out by the members and collected and 
returned to the president of the association in such manner as the 
trustees may from time to time prescribe. 

Section 2. The trustees representing the members shall canvass 
the nominating vote and prepare a formal ballot containing the 
names of five nominees eligible to the office of trustee, which is to be 
vacated, from those who received the highest number of votes on the 
nominating ballot. 

Section 3. Not less than one week before the annual meeting 
of the board of trustees a formal vote for the election of a trustee 
to represent the members shall be taken on the ballots prescribed 
in section 2, above, which shall be collected in such manner as the 
trustees may from time to time direct, by tellers to be appointed 
by the trustees representing the members, and the person receiving 
the highest number of votes shall be declared elected a trustee. 
Trustees shall not vote on the election of a trustee except in cases 
of a tie vote. 

Section 4. Not more than two trustees shall be employed at the 
date of their election, in any one department. 



BENEFIT ASSOCIATION CHENEY BROTHERS 497 

Article XIV — Amendments to the By-Laws 

Section I. Amendments to the by-laws may be made with the 
approval of a majority of the trustees representing the company, 
and a majority of the trustees representing the members; provided 
that not less than one month shall have intervened between the 
presentation in writing to the board of trustees of a proposed amend- 
ment and its final passage. 



Pension System 

The following amendments to the regulations of the board of 
directors of Cheney Brothers were approved June 7, 1910. Their 
purpose is to systematize the present practice of the company as 
regards pensions, with a view to more clearly recognizing and reward- 
ing long, efficient, and loyal services. 

Pension Committee 

1. The pension system shall be in the charge of a pension com- 
mittee of three members to be appointed annually by the directors 
of Cheney Brothers at the first regular meeting, or subsequent 
meeting following the annual meeting of the stockholders. The 
pension committee shall serve, subject to removal by the board of 
directors, for one year or until their successors are appointed and 
installed. 

2. Pensions may be granted by the pension committee in ac- 
cordance with the rules herein contained and under such rules and 
regulations as the committee may establish with the approval of 
the board of directors of Cheney Brothers. All new pensions, which 
shall be granted by the pension committee, shall be reported to the 
board of directors at the next regular meeting after such pensions 
shall have been granted. 

Pensioners 

3. Pensions may be granted to retired employees of Cheney 
Brothers and of any company owned, operated, or controlled by it, 
in whatsoever capacity engaged in the following cases : 

(a) Any employee over fifty years of age, twenty-five or more 
years in the service, who has become totally incapacitated for further 
service in any employment; or any employees of as many years 



49§ APPENDIX 

of age less than fifty as they have given years of service in excess 
of twenty-five, if totally incapacitated for further service in any 
employment, may be granted a pension by the pension committee. 

(b) Any male employee from sixty-five to sixty-nine years of 
age inclusive, twenty-five or more years in the service, who has 
become incapacitated for work of a like character to his past trade 
or employment, may make application or be recommended for retire- 
ment; and the pension committee shall decide whether or not he 
shall be granted a pension or given employment of a different 
character; or parts of both. 

(c) All male employees who shall have been twenty-five or more 
years in service shall be retired on the first day of the calendar 
month following that in which they shall have attained the age of 
seventy, unless in any case the pension committee shall fix a later 
date for such retirement. To employees so retired pensions may be 
granted by the pension committee. 

(d) Any female employed, from fifty-five to fifty-nine years of 
age inclusive, twenty or more years in service, who has become 
incapacitated for work of a like character to her past trade or 
employment may make application or be recommended for retire- 
ment, and the pension committee shall decide whether or not she shall 
be granted a pension or given employment of a different character; 
or parts of both. 

(e) All female employees twenty or more years in the service 
shall be retired at the age of sixty on the first day of the calendar 
month following that in which they shall have attained such age, 
unless in any case the pension committee shall fix a later date for 
such retirement. To employees so retired pensions may be granted 
by the pension committee. 

(f) A physical examination by one or more physicians appointed 
by the pension committee may be required of any employee applying 
for a pension on the grounds of incapacity. 

(g) Male and female employees who shall occupy executive, ad- 
ministrative, or clerical positions shall be exempt from the maximum 
age limit. 

Definitions 
4. The terms "service" and "in the service" shall apply to all 
employees of Cheney Brothers and of any company owned, operated, 
or controlled by it, who receive a stated and regular compensation 
from any of said companies. 



BENEFIT ASSOCIATION — CHENEY BROTHERS 499 

5. The term of service must be continuous and shall be computed 
from the date the employee commenced service with the original 
company, the property and business of which shall have been acquired 
by Cheney Brothers, except as stated in paragraphs 6 and 7. 

6. A temporary lay-off on account of illness or of a reduction 
of force shall not be considered a break in the continuity of service, 
but, if absence from either of such causes shall exceed six consecutive 
months, it shall be deducted in computing the length of active service. 

7. The length of service of any person who shall terminate his 
employment without notice of leave and is afterwards re-employed 
may be computed from the date of re-employment: and that of any 
person who is re-employed after an absence of two years or more 
shall be computed from the date of re-employment. 

Amount of Pensions and Conditions 

8. The committee on pensions may authorize the treasurer of the 
company to pay monthly to an employee who shall be retired as 
aforesaid 10 per cent of the average actual monthly pay of such 
employee during the ten years next preceding retirement, with an 
additional 1 per cent of the same rate for every year of service; 
except that in case of pensions granted on the grounds of total 
incapacity for work at any employment, the pension committee may 
at their discretion authorize the deduction of an amount from the 
pension of not to exceed 1 per cent for each year of age less than 
sixty-five for men and fifty-five for women. 

9. Pension allowances shall be paid on the first working day of 
each month from the date of retirement unless suspended by the 
pension committee as provided in paragraph 15. 

10. The pension committee may in its discretion direct that pen- 
sion allowances be continued to the widow and children, or either, 
of a pensioner for such period as to the committee, may seem proper. 

11. Pensioners retired from active service may be required by the 
pension committee to perform such services for the company as 
are suited to their capacity, but the acceptance of a pension shall 
not debar a pensioner from engaging in any business which, in 
the judgment of the pension committee, will not be prejudicial to 
his obligations to Cheney Brothers or to any company owned, 
operated, or controlled by it, as defined in this paragraph. 

12. No pension may be granted by the pension committee to 



5 00 APPENDIX 

any employee, eligible either to full or limited membership in the 
Benefit Association of Cheney Brothers, who is not a member in 
good standing of such benefit association. No pension grant shall 
become effective and operative until after the payments of all sickness 
and accident benefits which the pensioner may be entitled to receive 
from the Benefit Association of Cheney Brothers shall have ceased. 

13. Nothing herein contained, nor the establishment or main- 
tenance of a pension system, nor the grant of any pension, nor any 
other action now or hereafter taken by the company or by the 
pension committee in relation thereto, shall be or be construed as 
a contract or to give to any officer, agent, or employee any right 
to be retained in the service of the company or of any company 
owned, operated, or controlled by the company, or to give to any 
officer, agent, or employee any right to any pension, or to the 
continuance of any pension which may be granted. 

14. The company expressly reserves, regardless of anything in 
these rules contained, the right to discharge, without liability other 
than for salary or wages due and unpaid, any employee at any time, 
whenever in the judgment of the officers of the company, the interests 
of the latter may so require. 

15. Regardless of anything herein contained the directors of 
Cheney Brothers may at any time grant pensions where the terms 
of service are less than twenty-five years for men, or twenty years 
for women, or to persons or for ages and in amounts different 
from those in these rules set forth; and such pensions and any 
pensions granted under these rules may at any time and from time 
to time be suspended or terminated without any liability whatsoever 
to the pensioner. 

How to Secure a Pension 

16. An employee who wishes to obtain a pension may apply to 
the superintendent at the works in which he is employed or to the 
head of the department in which he is serving, who, in turn, will 
report such application to the pension committee. A form of applica- 
tion will then be furnished, in which must be set forth the applicant's 
age, length of service, and wages. This application must be filled 
out and signed by the applicant and by the work's superintendent, 
or head of the department in which the applicant is employed and 
when thus completed to be presented to the secretary of the pension 
committee at his office. 



BENEFIT ASSOCIATION CHENEY BROTHERS 5 QI 



Termination or Suspension of a Pension 

17. The pension committee shall keep informed as to the where- 
abouts and physical condition of pensioners, and shall advise the 
treasurer of the company of the death of any pensioner and of the 
suspension or termination of any pension, and of any other circum- 
stances which may affect any monthly payment to be made by the 
treasurer. A receipt shall be required for every pension payment. 
The pension committee may at its discretion suspend the pension 
of any person who fails to advise them monthly of his physical 
condition or whereabouts. 

18. No pension shall be pledged or transferred without the written 
consent of the Pension Committee. 

19. Pension allowance may be c ispended temporarily or terminated 
in the case of gross misconduct, or in the event of any attempt to 
assign, transfer, or pledge the same. The pension committee may 
in its discretion pay the whole or part of a pension to an institution, 
home or person other than the pensioner for his or her care and 
maintenance. 

Estimate of Amount of Pensions for Various Rates of Wages and 

Terms of Service 



Term 

of 
Service 


Average Monthly Rate of Wages 


$36 


$40 


$45 


$50 


$60 


$70 


$80 


$90 


$100 


20 years. . 


$10.80 


$12.00 


$13-50 


$15.00 


$18.00 


$21.00 


$24 . 00 


$27.00 


$30.00 


25 " -• 


12.60 


14.00 


15-75 


17-50 


21.00 


24-50 


28.00 


31-50 


35-00 


30 " .. 


14.40 


16.00 


18.00 


20.00 


24.00 


28.00 


32.00 


36.00 


40.00 


35 " •• 


16.20 


18.00 


20.25 


22.50 


27.00 


31-50 


36.00 


40.50 


45.00 


40 " 


18.00 


20 ..00 


22.50 


25.00 


30.00 


35-00 


40.00 


45.00 


50.00 


45 " • • 


19.80 


22.00 


24-75 


27.50 


33-00 


38.50 


44.00 


4950 


55-00 


50 " . . 


21.60 


24.00 


27.00 


30.00 


36.00 


42.00 


48.00 


54.00 


60.00 


55 " •• 


23.40 


26.00 


29.25 


32 ■ 50 


39.00 


45 -5o 


52.00 


58 .50 


65.00 



5° 2 APPENDIX 



CERTIFICATE OF ILLNESS 

TO THE BENEFIT ASSOCIATION OF CHENEY BROTHERS 
I CERTIFY THAT 



M 



.(full name) 



.(street) 



(town) 



IS UNDER MY PROFESSIONAL CARE AND TREATMENT FOR 



PARTIALLY 
AND IS WHOLLY DISQUALIFIED FROM PURSUING H. 
VOCATION. 



-M.D. 



.19 



THIS CERTIFICATE MUST BE MAILED OR DELIVERED TO THE BENEFIT 
ASSOCIATION OFFICE OF CHENEY BROTHERS AND NOT TO TIME KEEPERS. 

IF THIS IS NOT DONE THE RESPONSIBILITY FOR ERROR IS WHOLLY UPON 
THE MEMBER APPLYING FOR BENEFIT. 



Figure 29. Certificate of Illness. (Size 5% x 5%.) 

This form is used in checking up employees entitled to compensation in accordance with 

the constitution and by-laws of the Benefit Association of Cheney Brothers. For a 

complete discussion of benefit associations, see Chapter XXIII. 



BENEFIT ASSOCIATION — CHENEY BROTHERS 503 



NOTICE OF MEMBERSHIP IN THE 
BENEFIT ASSOCIATION OF CHENEY BROTHERS 

South Manchester, Conn., 19. . . 

M ........... 

Yon are hereby notified that from the date of your entering the employment of Cheney 
Brothers you have been enrolled as a statutory member of the Benefit Association of Cheney 
Brothers -and are thereby eligible to any compensation provided by law. 

You are hereby further notified that you are eligible for united membership in Class 

of such Association, entitled to the benefits thereof and subject to tlfie conditions of the Constitu- 
"tlofi - and" By-Laws of the Association, a copy of which is enclosed herewith. 

Unless written notice of your wish not to accept such membership is received before 

you will be enrolled as a united member of Clas§ , dating 

from . . ... 4 a certificate i2l!ited membership will be issued to you and a deduction 

of. cents per week will be made from your waees thereafter. 

Signed: 

Superintendent Benefit Association. 
NOTE:— Form* for the rejection of membership may be obtained from the Superintendent of the 
Association at the Main Office of Cheney Brothers. 



Figure 30. Sample Notice of Membership in Benefit Association. 

(Size 7^x4^.) 

For a specimen form for the rejection of membership, see Figure 31. 



5°4 APPENDIX 



FORM FOR THE REJECTION OF FULL MEMBERSHIP 

IN THE 

BENEFIT ASSOCIATION OF CHENEY BROTHERS 



I hereby decline to be enrolled as a full member of the Benefit Association of 
Cheney Brothers, in accordance with the terms of its notice to me. 

Date _ 



Figure 3 1 . Form for the Rejection of Full Membership in Benefit Association. 

(Size 6^x3^.) 
Unless an employee signifies a wish not to accept membership, he is usually enrolled in 
accordance with ihe terms of the notice (Figure 30) sent. 



CERTIFICATE OF FULL MEMBERSHIP 

IN THE 

BENEFIT ASSOCIATION OF CHENEY BROTHERS 



No Date. 

This Certifies that 



of , in. the State of Connecticut is a Full Member 

of the Benefit Association of Cheney Brothers, entitled to the benefits and privileges of 
membership and subject to the obligations thereof in accordance with the Constitution 
and By-Laws of the Association and the conditions on the reverse side of this Certificate- 
Membership shall be in effect from the ; — == day 

of_._^ V „_IQ 

Signed by 



Superintendent oftha Bent/it Auoeialion of Chaney Projtsr* 

For terms of membership see reverse sid» 



Figure 32. (a) Certificate of Full Membership in Benefit Association (face). 

(Size 6}Ax 4.14) 



BENEFIT ASSOCIATION — CHENEY BROTHERS 5°5 



7TERMS OF MEMBERSHIP., 

Membership is accepted by the person named in 
this Certificate upon the following terms: -■■•» i<HW' 

(a) That he shall be bound by the Constitution 
and By-Laws of the Association and by all amend- 
ments thereto, and all rules and regulations in force 
during the term of their membership. 

(6) That his habits of life are correct and tem- 
perate; that he is in sound condition, mentally and 
Ehysically, except as set forth in the statement made 
y him to the Superintendent or his agent. (Article 
VIII. Section 13 of the By-Laws.) 

(c) That unless a member shall otherwise designate 
in writing with the approval of the Superintendent of 
the Association death benefits in excess of those 
required by law under Article VII, and death benefits 
from sickness under Article/ V and VI shall be paid to 
the dependents of the deceased, if any, in accordance 
to the relative degrees of their dependency existing at 
the time or times of payment, as determined by the 
trustees, whose decision shall be final as to all questions 
of dependency. ""»>i' » -->- 

That unless a member shall otherwise designate in 
writing with the approval of the Superintendent of the 
Association death benefits described in the above para- 
graph in case there arc no dependents shall be payable 
as follows and in the following order: (1) to the widow 
(husband) if surviving; or (2) if there be no widow 
(husband) to the surviving children and the children 
of any deceased* child or children, the children of a 
deceased child to take the parent's share; or (3) if there 
shall be no child of said member, or child or children of 



a deceased child or children, to the surviving parents 
or parent; or (4) if there be no surviving parent, then 
to the next of kin, payment in behalf of such kin to be 
made to the executor or administrator; or (5) if there 
be no next of kin, or if claim shall not be made by the 
person or persons entitled thereto within two years 
from the date of the member's death, the amount of 
the death benefit shall be paid into and become a part 
of the Reserve Fund of the Association. 

(d) If any statement made by the member to the 
Superintendent or his agent shall be untrue or fraudu- 
lent or if he shall have concealed any facts or shall have 
resigned from or left voluntarily or otherwise the 
service of Cheney Brothers or any company owned, 
operated or controlled by it, all his rights and priv- 
ileges to full or limited membership in the Association 
and claims to benefits arising therefrom shall term- 
inate, except his right to the amounts contributed to 
the annuities specified in Article IX of the By-Laws 
and except that the termination of employment shall 
not, in tne absence of any other causes of termina- 
tion of membership, deprive him of benefits to which 
he may be entitled by reason of disability beginning 
and reported before and continuing after the termi- 
nation of employment. (Article I, Section 6. Article 
VI II, Section 13 of the By-Laws.) 

O) That Cheney Brothers by its proper agents may 
during the continuance of his membership apply as a 
voluntary contribution from any wages earned by 
him tn their employment such contributions as the 
trustees may establish for the purpose of securing the 
benefits provided in the By-Laws for a member oi this 
Association. r — 

(Article III. Section 2 of the By-Laws.) ( 



Figure 32. (b) Terms of Full Membership in Benefit Association (reverse) 



CERTIFICATE OF LIMITED MEMBERSHIP 

IN THE 

BENEFIT ASSOCIATION OF CHENEY BROTHERS 



No. 



Date 



This Certifies that . 



of " ~ " ~~ * - in the State of Connecticut, is a Limited Member 

of the Benefit Association of Cheney Brothers, entitled to the benefits and privileges of 

membership and subject to the obligations thereof in accordance with the Constitution 

and By-Laws of the Association and the conditions on the reverse side of this Certificate. 

Membership shall be in effect from rti* . , . ,„, ji|LjL <MIJ . 

Of _1&*_ 

Signed by 

Superintendent of the Benefit Association of Cheney Brothers. 
For terms* of membership see reverse side 



day 



Figure 33. Certificate of Limited Membership in Benefit Association (face). 

(Size 6^x414.) 
On reverse of this certificate appear the terms of membership as shown in Figure 32b. 



5o6 



APPENDIX 



ACCIDENT REPORT 

(To be filled in by some one designated person in each department as soon as possible after the occurrence oflEe sccidenll 

Date , 

Date of accideritr. hMi r 

Name of injured persoti, i , 

Address - ~ . . . 



Occupation.. 



..Place of Accidents 
Aver, wages for 
_ last 13 weeks . 



Under whose immediate direction was the work being done?.. 
Nature and extent of injury , , , 



How did the accident occur?. 



Was surgical aid rendered?.. 
When?.-,. 



..By whom?. 
..Where? 



Where was the injured person finally taken?.. 
In Case of Serious Accident: 

Who $aw accident _. 



Description of accident by eye witnesses— 



Signed. 



Figure 34. (a) Accident Report Blank (first page). (Size 7%x io^.) 



BENEFIT ASSOCIATION CHENEY BROTHERS 5°7 



[To be filled in by Superintendent of Benefiit Association i 

.AgeJ ... „ L , .Marr\ed Number jof dependent children under sixteeik*_ 

.Single . ' 

Wqg , .fciember Of' Benefit Association? 

How long in the service of the Company'?\ l _____*___year3 > 

JPrbtable duratidn of disability from" "employment; ■ ■ r r _, ■ 



Statement of Foreman ; fTo be filled in by Company's Inspector! 

"Was accident due t<j:— fa) want of ordinary care on the part of the injured person'/-^ _ 

(b) on the part of fellow workman? ~. : „ , , . 

<c) any defect in machinery, tools of plant? 

% Had the defect been reported to you?. . — If so, when? . — ,■ „;„,..-'■ — f 

Had^ny steps been taken to remedy it? ,. ,,.„ . . .J. — ^—^ 



% Did the injury occur in the necessary performance of work connected with the job on which the 
personwas employed? . 

4i Howlong had injured person been employed on this particular j ftK<> . _,.... , 

'Was there evidence of 'incompetence?.' - 

Does person understand English?,; ..-. „ 



Had the person been properly instructed as to the danger of accident connected with the job? 
By whom? ,- ^ . — When? , 



%. Was there evidence of intoxication; its after effects or habitual ifise?^ 

Of disobedience of orders? , : - 



Of violation of rules?...* „!Of fooling or fighting? 



6. jlVas the itajury due to unpro^ectcd'gears, belts, or dangerous parts?., : . 

Were there other dangerous structural conditions than the above in the machinery or appliances? 



Was machinery in any'way out of order or ill-suited to the work?. 
7. tyas the light at place of accident good? , : .,., .-— 



' 8; 'Previous to'thc injury had any steps been taken to remedy known defects or probable causes?.. 



Since the injury have any measures been taken to prevent a recurrence of similar accidents? 



Figure 34. (b) Accident Report Blank (second page) 



50S APPENDIX 



Report of Examinina Committee: 

This accident should be classified as due to the - 

'Fault of injured person 

/Fault of fellow workman _ 



Fault of employer _ 

jFault of both employer and employee 

: Hazard of the trade 



Report of Medical Examiner: 

First aid given „ , , hour. 

. Number of office treatments . 

Number of house treatments.... 

Case sent to hospital „ _ 

Cost of drugs and dressings 

Case discharged _. „. 

j Ordered to report for work on , ,.,..-~~- 

Description of Case: 



Figure 34. (c) Accident Report Blank (third page) 



BENEFIT ASSOCIATION CHENEY BROTHERS 509 



Disposition of Case: 



First Aid - 

Statutory surgical, medical care 
Ben. Ass'n, surgical, medical care 

Hospital maintenance, etc — 

Statutory -benefits 



Benefit Association benefits 

Cheney Brothers' allowances- 

Pension ___^_^__, ., 

T ta td-" ■,.,-■ -V-" ;■ " j^-LS S= 



i ! 

i 
! \ 



DESCRIPTION 



Figure 34. (d) Accident Report Blank (fourth page) 



5io 



APPENDIX 



DISABILITY RECORD 


Name Case No. 


Certif. No. L 


Disability Benefits Benefits 
Began Began Ceased 


WEEK ENDING 


VISITING COMMITTEE 


DOCTOR'S REPORT 


VOUCHER 


BENEFIT 
















































































/ " " 
































BENEFIT ASS 


JCIATION OF CHENEY BROS. 









Figure 35. (a) Accident Disability Record Card (face). (Size 4x6.) 

The employee's accident disability record is kept on a blue card in order to differentiate 
it easily from the sickness disability record which is kept on a white card. 



ACCIDENT 



File No. of accident report 



Cause 



Was it due to gross carelessness of injured person 



Probable duration of injury 



Remarks 



Figure 35. (b) Accident Disability Record Card (reverse) 



BENEFIT ASSOCIATION — CHENEY BROTHERS 5 11 



DISABILITY RECORD 


Name C»$e No. 


DepL Class Certif. No. 


Disability Benefit- Benefits 
Began Began Ceased 


WEEK ENDING 


VISITING COMMITTEE 


DOCTOR'S REPORT 


VOUCHER 


BENEFIT 




























































































































' aCNC'IT AsaociA-MOH 


OF CHCNCV BROS. 









Figure 36. (a) Sickness Disability Record Card (face). (Size 5 % *4-) 

The sickness disability record is a most important source of information for the Benefit 

Association. As sickness disability is closely related to accident disability, these records 

are usually kept on differently colored cards. 



-SICKNESS 



Dtagnosi 



Probable duration of disability 



Attending Physician 



Remark*. 



Figure 36. (b) Sickness Disability Record Card (reverse) 



512 



APPENDIX 



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6 



INDEX 



Accident prevention (See " Safety ' ') 
Accident prevention score-board, 

256 
Accidents, 167 (See also "Benefit 
associations") 
effect upon labor, 168- 
frequency rates, Figure, 239 
lost time from, 167, 246 
record sheet, 246 
reduction, 238, 241 
report blank, Figure, 506-509 
statistics, 168 
Advertising in plant newspapers, 304 
Akron, Ohio, 
housing plan, 

Firestone Tire and Rubber Co., 

330 
Goodyear Tire and Rubber Co., 
330 
Alexander, Magnus, F., 4 
Aliens (See "Foreign-born") 
Alpha Portland Cement Co., acci- 
dents, 241 
Ambulance room (See "First-aid 

room") 
American Cast Iron Pipe Co., medical 

department, 190 
American Chain Co., 

Americanization work, 153 
mutual benefit association, 351 
American Civic Association, 

"a good home for every wage- 
earner," 336 
housing studies, 307 



American International Shipbuilding 
Corporation, industrial relations 
department, 35 
American Multigraph Company 

Center Punch, 51, 292, 304 
American Pulley Co., 421 
American Rolling Mill Co., 
Americanization work, 150 
English classes, 144 
health work, 144 
medical department, 189 
American Smelting and Refining Co., 

pension system, 369 
American Sugar Refining Co., pension 

system, 370 
American University of Trade and 
Applied Commerce, of John 
Wanamaker Company, 115 
American Woolen Co., 
group insurance, 365 
housing plan, 32 1 
Americanization, 121-134 
aids to, 148-164 

governmental, 161 
American Chain Co., 153 
American Rolling Mill Co., 150 
Brown and Sharpe Manufacturing 

Co., 157 
census card, 156 
chambers of commerce, 162 
committees, 127 
English classes, 135-147 
W. H. McElwain Co., 153 
National Cash Register Co., 402 
National conference, 136 



515 



5i6 



INDEX 



Americanization — Continued 
pay envelope circulars, 154 
plant spirit, 129 
recreation as aid to, 217 
Schwartzenbach-Huber Co., 125 
Syracuse Chamber of Commerce, 

163 

training teachers for, 137 
Amoskeag Manufacturing Co., hous- 
ing plan, 321 
Annuities for service, 369 
Apprenticeship, 
agreement, 451 

Remington Arms Co., 452 
schools, 98 

Cincinnati Milling Machine Co., 
108 
Associations (See also "Benefit 
associations," "Co-operative as- 
sociations," and "Musical asso- 
ciations") 
for industrial training, 120 
for safety, 447 
Atchison, Topeka and Santa Fe 
Railroad System, accidents, 118, 
238 
Athletics, 218, 222, 403 
Attendants, dispensary, 186 
Atterbury, W. f 258 
Avery Co., 

medical examinations, 194 
safety work, 256 
Awards for suggestions, 267, 271 

B 

Bancroft, Joseph, and Sons, 

kindergartens, 401 

lunchroom, 282 
Bands (See "Brass bands") 
Banks, co-operative, 355 
Baseball games, 223 
Bell Telephone Co., pensions, 372 
Beloit, Wisconsin, 

Fairbanks Morse Co., housing plan, 
322 



Benefit associations, 

Figures, 502-506, 509-513 
American Chain Co., 351 
Bridgeport Brass Co., 345 
Cheney Bros., 473-497 
computation for payments, 347 
Dodge Manufacturing Co., 354, 

454-472 
employer's aid, 341 
failure due to lack of financial skill, 

359 

Flint Vehicle Co., 353 

General Electric Co., 353 

H. C. Huyck and Sons, 350 

organization, 342 

Pennsylvania Railroad Co., 344 

types, 344-356 

White Motor Co., 349 
Bethlehem, Pa., housing report, 312 
Bethlehem Shipbuilding Corporation, 
96 

employees' service department, 28 

industrial relations department, 35 

medical department, 179 
Bethlehem Steel Coporation, 35, 121 

brass band, 229 

English classes, 137, 140 

first-aid training, 206 
Bloomfield, Daniel, "Employment 

management," 55 
Bloomfield, Meyer, 

"Handbook on Employment Man- 
agement," 421 

"Relation of Foremen to the Work- 
ing Force," 83 
Bolen, G. L., "Getting a Living," 18 
Bonuses, E. A. Mallory and Sons, 

374 
Boston University, training course for 

industrial nurses, 187 
Bourne Mills, profit-sharing, 375 
Bradley Knitting Co., housing plan, 

332 
Brass band, 227 
cost of, 228 



INDEX 



517 



Bridgeport Brass Co., benefit associ- 
ation, 345 
Bridgeport, Conn., housing report, 

British Ministry of Munitions, study 
of industrial restaurants, 276 

Britton, Dr. James A., 179 

Brown and Sharpe Manufacturing 
Co., 
Americanization work, 157 
training system, 106 

Budget for employees' service depart- 
ment, 54 

Building and loan associations (See 
"Housing plans") 

Bulletin Boards for safety work, 254 

Burritt, A. W. Co., profit-sharing 
plan, 379 

Bush Terminal, recreation work, 225 

Business manager of plant newspaper, 
303 



Cadbury Bros., medical examinations, 

196 
Cadillac Motor Car Co., 

accidents, 240 

restaurant, 282 
Cafeterias (See "Lunchrooms") 
Caldwell, Dr. Charles P., 318 
California commission on housing and 

immigration, 130 
Candee, L. Co., 

employees' service department, 28 

English classes, 145 
Canteens, 65 
Carnegie Steel Co., 

English classes, 146 

medical department, 179 
Cartoons in plant newspapers, 294 
Census in Americanization work, 156 
Center Punch, American Multigraph 

Co., 51, 292, 304 
Chambers of commerce, Americaniza- 
tion work, 162 



Chandler, W. L., 256, 354 
Cheney Bros., 

benefit association by-laws, 473-497 
pension system, 497-501 
Chester Shipbuilding Co., English 

classes, 143 
Chicago, 

Americanization work, 161 
Municipal Tuberculosis Sanita- 
rium, 318 
Tuberculosis Institute, Report of 
Committee on Factories, 19 13, 
179 
Choral societies (See "Glee clubs") 
Cincinnati Milling Machine Co., 

apprenticeship system, 108 
Cincinnati Planer Co., group insur- 
ance, 363 
Cities, recreation work. 214 
Citizenship, 157, 159, (See also 
' ' Americanization ") 
circulars urging, 154 
Civic centers, 392 
Civics and industry, 390-409 
Clark Equipment Co., housing plan, 

324 
Classes for foreign-born, 

attendance problem, 138, 141 
English, 136 
Cleveland, Ohio, 

Americanization work, 161 
Chamber of Commerce, American- 
ization work, 163 
housing report, 312 
Cleveland- Cliffs Iron Co., English 

classes, 144 
Cleveland Worsted Mills Co., lunch- 
room, 281 
Clinics, industrial, 177 
Cloak and suit industry, labor turn- 
over, 8 
Cloakrooms, 66 
Clubhouses, 219 

Colorado Fuel and Iron Co., recre- 
ation work, 223 



5i8 



INDEX 



Committees, 

employees' service department, 28 

safety organization, 432 
Commonwealth Edison Co., sugges- 
tion system, 274 
Commonwealth Steel Co., 75, 237 

accidents to non-English-speaking 
employees, 146 

brass band, 229 

CommonwzaltheYy 295 

lunchroom, 279 
Community Motion Picture Bureau, 

151 

Community organization, relation to 

industry, 390-409 
Community secretaries, 392 
Community service, 

Merchant Shipbuilding Co., 399 
National Cash Register Co., 395 
Norton Co., 397 
organization of, 391 
special industrial plans, 393-409 
Community singing, 404 
Conferences, 

employees' service department, 44 
plant newspapers, 302 
Converse Rubber Shoe Co., English 

classes, 146 
Co-operation, 

employer and community, 207, 
390-409 
in Americanization, 160 
employer and employee, 12, 69-86, 

127 
industry and public education, 
163 
Co-operative associations, 354 
Co-operative banks, 355 
Co-operative courses, 99 
Co-operative plants, Co-operative 

Boot and Shoe Co., 356 
Cost of hiring, 5 
Cost of labor turnover, 10, 420 
Council of National Defense, sanitary 
standards, 424 



Country clubs, Curtis Publishing Co., 

220, 226 
Cramer, Frank, "Talks to Students 

on the Art of Study," 102 
Crandall, Miss Ella P., 201 
Crane Co., group insurance, 364 
Curtis Publishing Co., 

country club, 220, 226 

lunchroom, 278 

orchestra, 231 

restrooms, 205 

training system, 118 



"The Day's Work," 153 
Dearborn, "How to Study," 102 
Deere and Co., group insurance, 364 
Delaware Council of Defense, 159 
Delaware, naturalization, 159 
Dennison, Henry S., on profit-shar- 
ing, 377 
Dental clinic, 

National Cash Register Co., 199 

operation of, 197 
Dental service. 197 
Detroit Board of Commerce, 162 
Detroit, labor turnover, 7 
Dewitt, C. C, 142 
Diet, importance of, 276 
Disability record, Figure, 510, 511 
Discharge regulations, 71-74 
Dispensary attendants, 186 
Dodge Manufacturing Co., 

accident prevention score-board, 

257 
accidents, 241 
mutual relief association, 354 

by-laws, 454-472 
safety work, 254 
Donnelly, R. R. and Sons Co., school 

for printers, 1 18 
Dramatics, 233 
Draper Co., housing plan, 331 
DuPont de Nemours, E. I. Co., 
group insurance, 364 



INDEX 



519 



DuPont Fabrikoid Co., Americani- 
zation work, 153 

E 

Eastern Manufacturing Co., 

brass band, 230 

restrooms, 219 
Eastman Kodak Co., 

accidents, 240 

Kodak Park Bulletin, 299 

medical department, 172 

recreation park, 220 

safety work, 248, 251 

suggestion blanks, 264-267 

suggestion system, 264 

visiting nurse, 202 
Eclipse Park, Beloit, Wis., 322 
Edholm, Charlton, 122 
Edison Storage Battery Co., bulle- 
tins, 299 
Edison, Thomas A. Inc., employees' 

service department, 37 
Editors, of plant newspapers, 295, 299 
Education, 402 

Educational systems (See "Indus- 
trial training") 
Efficiency, 

due to health of workers, 165 

in labor maintenance, 3 
Ellsworth Collieries Co., brass band, 

230 
Emergency hospital, 177 
Employees, 

classification for estimating em- 
ployment costs, 420 

co-operative associations, 354 

discharges, suspensions, and trans- 
fer, 71-74 

foreign-born, 121- 134 

group insurance, 357-368 

health and hygiene, 165-173 

lunchrooms, 275-290 

morale among, 69-86 

mutual benefit associations, 339- 
356 



Employees — Continued 

record card, Figure, 512-513 

recreation, 208-221 

stock participation, 356 

suggestions from, 259-274 

trained, 94 
Employees' magazine (See "Plant 

newspaper") 
Employees, new, 47 

adjustment to job, 95 

instructions for, 48 

interviewing, 48 

labor turnover among, 47 

training, 92 
Employees' service department, 
Figures, 29, 31, 33, 38, 39 

activities of, 52 

Bethlehem Shipbuilding Corpora- 
tion, 28 

budget, 54 

L. Candee Co., 28 

conferences, 44 

co-operation of employee and em- 
ployer by, 22 

correlation with employment de- 
partment, 61 

Edison Thomas A., Inc., 37 

files and records, 43 

functions, 26-41 

Hood Rubber Co., 28 

office organization, 42 

organization, 26-55 

place in industry, 19-25 

place in plant, 26-41 

planning a program for, 47 

plant newspaper, 300 

Plimpton Press, 31 

real estate bureau and room regis- 
try, 333 

size, 42 

special studies and reports, 45 

table showing effect ot sendee work, 
Figure, 40 

terminology, 32 

value of, 20 



520 



INDEX 



Employees' service manager, duties 
and qualifications, 56-68 

Employment, 
costs, 421 
functions 01 employees' service 

department, 28 
meaning of term, 32 
of working force, 4 

Employment department, correla- 
tion with employees' service 
department, 61 

Employment management, War 
Emergency Training Course at 
University of Rochester, 26 

Employment manager, 

accessible to employees, 44 
duties of, 62 

Endicott- Johnson Co., profit-sharing 
plan, 383 

England (See "Great Britain") 

English for foreigners, 135-147 

English language, 
classes, 

American Rolling Mill Co., 144 
Bethlehem Steel Corp., 137, 140 
L. Candee and Co., 145 
Carnegie Steel Co., 146 
Chester Shipbuilding Co., 143 
Ford Motor Co., 142 
Goodyear Rubber Co., 143 
Hamilton Mills, 145 
Norton Co., 145 
Organization, 136 
D. E. Sicher and Co., 135 
Willard Storage Battery Co., 144 
methods of teaching, 135-147 
results of teaching, 146 

Europe, accidents in, 168 

Examinations, physical (See "Med- 
ical examinations") 

Examining room of medical depart- 
ment, 180 

Executive board of employees' ser- 
vice department, 30-31 

Eye treatment, 200 



F 

Fairbanks Morse Co., housing plan, 

322 
Farnum, Dr. C. G., 194 
Farquhar Beneficial Association, 

PennsylvaniaAgriculturalWorks, 

353 
Federal Board for Vocational Educa- 
tion, Washington, D. C, 119 
Festivals (See "Pageants and festi- 
vals") 
Filene's, William Sons Co., 
dramatic society, 233 
training system, 116 
Files, 43 
Filing-room of medical department, 

180 
Financial aids, 

to employees, mutual benefit asso- 
ciations, 338-356 
Financing plant newspaper, 303 
Firestone Tire and Rubber Co., 
discharge regulations, 71 
housing plan, 330 
First aid in illness and injury, 65 
"First-aid room," 177 

British government's require- 
ments for, 190 
First aid, training in, 206 
Fisher, Boyd, 7 
Fisk Rubber Co., Fisk Bulletin, 

299 
Flint Vehicle Factories, mutual bene- 
fit association, 340, 353 
Food, importance of good, 276 
Food values, table of, 289 
Ford English School, 142 
Ford Motor Co., 
brass band, 229 
labor turnover, 7 
Fore River Plant, Bethlehem Ship- 
building Corporation (See 
"Bethlehem Shipbuilding Cor- 
poration") 



INDEX 



521 



Foreign-born, 

Americanization census, 156 

attitude toward, 124 

influence upon industry, 121 

plant newspapers for, 299 

recreation, 217 
Foremen, 

attitude toward foreign-born, 126 

duties and qualifications, 80 

plant newspaper for, 297 

responsibil.ty for safety, 242, 433, 

439 
Frick, H. C. Coke Co., Americani- 
zation work, 153 



Gardens for employees, 400 

Gary, Ind., housing plan, U. S. Steel 

Corporation, 330 
General Electric Co., 

housing plan, 333 

mutual benefit associations, 353 

training system, 118 
General Fireproofing Co., Americani- 
zation work, 156 
General manager, relation to em- 
ployees' service department, 38 
General Motors Corporation, 

housing plan, 325 

hotel club for men, 332 
Gilman, N. P., 376 
Girls (See "Women and girls") 
Glee clubs, 230-233 
Good- will of workers, 12, 69-86 
Goodrich, B. F. Rubber Co., 

bureau of education, 132 

industrial relations department, 35 
Goodyear Tire and Rubber Co., 

Americanization work, 148 

English classes, 143 

housing plan, 330 

labor department, 36 

recreation work, 226 

training system, no 
Gould, Ernest C, 60 



Government aid in Americanization, 

161, 162 
Gray, William and Co., profit-shar- 
ing plan, 383 
Great Britain, 

first-aid room requirements, 190 
Health of Munitions Workers 

Committee, 63 
housing plans, 307, 332 
welfare work in, 16, 63 
Greenfield Tap and Die Corporation, 

plant newspaper, 295 
Grieves, A. W., 4 

Group insurance (See "Insurance, 
group") 



Hall-Scott Motor Car Co., profit- 
sharing plan, 382 
Hamilton Mills, English classes, 145 
Hamilton, Ohio, housing report, 313 
Hamilton Watch Co., lunchroom, 281 
Hammond, W. J., 204 
Harvard University, Medical School, 

184 
Harvey, Dr. A. M., 179 
Haskell and Baker Car Co., accidents, 

240 
Health and hygiene, 

advantages in industry, 165 
effect of good housing, 318 
lunchroom and restaurants, 275- 

290 
of employees, 165-173 
standards of, 170 
Health campaigns, 205 
Health department (See "Medical 

department") 
Health of Munitions Workers Com- 
mittee, Great Britain, 290 
recommendations, 63-67 
Hercules Powder Co., suggestion 

system, 273 
Hiring (See "Labor turnover," 
"Employment") 



522 



INDEX 



Hog Island Shipyard, labor turnover, 
8 

Homestead Association, American 
Woolen Co., 322 

Hood Rubber Co., employees' ser- 
vice department, 28 

Hopedale, Mass., housing plan, Dra- 
per Co., 331 

Hospitals, emergency, 177 
equipment, 178 

Hospitals, industrial, 177 

Hotels, General Motors Corporation, 
hotel for men employees, 332 

House organ (See "Plant news- 
papers") 

Housing corporations, organization 
and management, 334 

Housing of immigrants, 130 

Housing plans, 

American Civic Association studies, 

307 

American Woolen Co., 321 

Amoskeag Manufacturing Co., 321 

and labor turnover, 306, 310 

Bethlehem, Pa., 312 

Bethlehem Shipbuilding Corpora- 
tion, 333 

Bridgeport, 311 

Clark Equipment Co., 324 

Cleveland, Ohio, 312 

Fairbanks Morse Co., 322 

Firestone Tire and Rubber Co., 330 

General Electric Co., 333 

General Motors Corporation, 325 

Goodyear Rubber Co., 330 

Great Britain, 307, 332 

Hamilton, Ohio, 313 

in peace time, 317 

in war time, 307, 309 

Indianapolis, Ind., 313 

industrial, 306-338 

Nelson Co., 331 

Norton Co., 331 

real estate bureau, 333 

room registry, 333 



Housing plans— Continued 
special types, 321-338 
suggestions for solution, 319 
Talbot Mills, 328 

United States Chamber of Com- 
merce, 334 
United States Steel Corp., Gary, 
Ind., 330 
Howard, Clarence H., 75 
Hunt, E. B., 344 

Huyck, F. C. and Sons, mutual bene- 
fit association, 350 
Hydraulic Pressed Steel Co., Hy- 
draulic Press, 299 
Hygiene (See "Health and hy- 
giene") 



Indianapolis, Ind., report of United 

States Housing Corporation, 313 

Industrial Americanization (See 

1 ' Americanization ' ') 
Industrial clinic, 177 
Industrial communities, 390-409 
Industrial housing, 306-338 
Industrial hygiene (See "Health and 

hygiene") 
Industrial medicine, 171 

course of study, University of 
Cincinnati, 185 
Harvard University, 184 
Industrial physicians (See "Physi- 
cian, industrial") 
Industrial relations, 69-86 
Industrial relations department, 35 
B. F. Goodrich Rubber Co., 35 
Goodyear Tire and Rubber Co., 36 
International Harvester Co., 35 
Merchant Shipbuilding Corpora- 
tion, 35 
Industrial relations manager, 4 1 
Industrial training, 
advantages, 87, 94 
aids to, 119 
aims, 88 



INDEX 



5 2 3 



Industrial training — Continued 
Brown and Sharpe Co., 106 
equipment, 102 

William Filene's Sons Co., 116 
Goodyear Rubber Co., no 
history, 89 

instructors, qualifications of, 101 
Larkin & Co., 109 
Merchant Shipbuilding Co., 119 
methods, 101 
need of, 87 

Packard Motor Car Co., 114 
Pennsylvania Railroad Co., 104 
reduces labor turnover, 94 
shop and school, correlation, 102 
D. E. Sicher & Co., 148 
vSimonds Manufacturing Co., 109 
systems, 104-120 
War emergency training, 100 
Western Electric Co., in 
Industry, social aspects, 390-409 
Instructions for new employees, 48 
Insurance, 

group, 357-368 

American Woolen Co., 365 

as a stabilizing force, New York 
Shipbuilding Corporation, 364 

DuPont Co., 364 

policy, 366 

principles and organization, 361- 
368 

special plans, 361-368 
legislative control, 359 
mutual, 

benefit to employees, 360 

emp-oyers aid to, 359 

scope, in industry, 358 
International Harvester Co., 
accidents, 240 
foremen meetings, 83 
industrial relat.ons department, 

35 
International Silver Co., service 

rewards, 373 
Interviewing new employees, 48 



James, William, 209 

"Psychology, Briefer Course," 102 
Jeffrey Manufacturing Co., 4 

lunchroom, 281 
Job adjuster, 96 
Job analysis, 95 
Joseph and Feiss Co., 

English classes, 147 

lunchrooms, 281 
Juhneke, P. B., 450 



Kelly, R. W., "Training the Indus- 
trial Worker," 103, 119 
Kindergartens, 401 

Joseph Bancroft and Sons, 401 
King, J. MacKenzie, "Industry and 
Humanity," 12, 166 



Labor department (See "Industrial 

relations department") 
Labor stability report, Figure, 412- 

415 
Labor turnover, 

among new employees, 47 

basic factors, 3, 411, 416 

caused by dissatisfaction, statistics, 

82 
cloak and suit industry, 8 
cost, 10 

costs, computing, 42 
Detroit, 7 

effect of housing on, 306, 3 10 
elimination, n 
Ford Motor Co., 7 
Hog Island Shipyard, 8 
labor stability report, Figure, 412- 

415 
metal industry, 4 
methods of reducing, 47, 94 
Milwaukee, 9 
percentage, computing, 417 



5^4 



INDEX 



La or turnover — Continued 

recording methods, 410-420 

reducing by training, 94 

relation to wages, 23 

shipbuilding industry, 8 

Soulhern Pacific Railway Co., 8 

statistics, 4 

street railway companies, 6 

waste in, 4 
Labor unions, opposition to welfare 

work, 15 
Laboratory of medical room, 181 
Lake Torpedo Boat Co., 

"Labor Efficiency Bulletins," 84 

marine band, 229 
Lane, Franklin K., 159 

"What America Means," 123 
Larkin Co., Ourselves, 294 

training system, 109 
Lawrence, Mass., 

housing plan, American Woolen 
Co., 321 
Leclaire, 111., housing plan, Nelson 

Co., 333 
Lee, Dr. Frederic S., 209 
Lee, Gerald Stanley, 80 
Libraries, 

plant, 216 

public, in Americanization work, 
162 
Link, Henry C, 95 
Lipman, Dr. W. H., 179 
Little, Dr. L. Z., 179 
Lost time, 

due to accidents, 246 

due to ill health, 167 
Lunchrooms, 275-290 

Joseph Bancroft and Sons Co., 282 

benefits, 276 

Cleveland Worsted Mills Co., 281 

Commonwealth Steel Co., 279 

cost, 283 

Curtis Publishing Co., 278 

equipment, 286 

Hamilton Watch Co., 281 



Lunchrooms — Continued 
Jeffrey Manufacturing Co., 281 
Joseph and Feiss Co., 281 
menus, 288 

method of service in, 284 
National Cash Register Co., 278 
commissary department, Fig- 
ure, 280 
National Lamp Association, 279 
Ohio Malleable Steel Co., 282 
percentage of employees using, 282 
Pierce- Arrow Motor Car Co., 277 
policy, 277 

report of British Ministry of Muni- 
tions, 276 
requirements, 285 
Southern Flour Mills, 281 
United Shoe Machinery Co., 281 

M 

McCormick, Harold, 147 

McElwain, W. H. Co., Americaniza- 
tion work, 153 

MacGregor, D. H. "Evolution of 
Industry," 23 

Magazines for employees (See 
"Plant newspapers") 

Maine, housing plan, 323 

Mallory, E. A. and Sons, wage bo- 
nuses, 374 

Managers, 

attitude toward suggestions, 260 
of plant newspapers, 303 
qualifications of, 167 

Manchester, N. H., housing plan, 
Amoskeag Manufacturing Co., 
321 

Marshall, Alfred, 93 

Massachusetts, accidents in, 168 

Massachusetts, Department of Uni- 
versity Extension, Americani- 
zation work, 163 

Massachusetts Homestead Com- 
mission, 406 



INDEX 



5 2 5 



Mechanical trade training (See 
"Shop work") 

Medical department, 65, 174-190 
American Cast Iron Pipe Co., 190 
American Rolling Mill Co., 144, 189 
Bethlehem Shipbuilding Corpora- 
tion, 179 
Eastman Kodak Co., 172 
equipment and location, 179 
functions, 174, 191 
personnel, 183 
relation to plant, 175 
Standard Oil Co., 188 

Medical examinations, 191-197 
Avery Co., 194 
Western Electric Co., 192 

Meetings for safety, 252 

Merchant Shipbuilding Corporation, 
36 
community service work, 399 
industrial relations department, 35 
News-Compiss, 294, 295, 297 
training system, 119 

Metal industry, labor turnover, 4 

Metropolitan Life Insurance Co., 
Glee Club, 232 

Miller Lock Co., housing plan, 333 

Milwaukee Coke and Gas Co., acci- 
dents, 241 

Milwaukee, labor turnover, 9 

Mining industry, recreation work, 219 

Minnequa Steel Works, brass band, 
229 

Mock, Dr. Harry E., 179, 182 

Monthly Labor Review, 314 

Morale (See "Plant spirit") 

Morey, Arthur T., 237 

Morris and Co., profit-sharing plan, 

383 
Morse Dry Dock and Repair Co., 

Dry Dock Dial, 295 
Mortgages (See "Housing plans") 
Motion pictures, 219 

in Americanization work, 151 
Mulligan, J. R., 140 



Munition industry, housing problem, 

307 
Music, 221, 227 
brass bands, 227 
community singing, 404 
Musical associations, 231 
Mutual benefit associations (See 

" Benefit associations ") 
Mutual insurance (See "Insurance, 
mutual") 

N 

National Americanization Committee, 

122, 139, 156 
National Americanization Confer- 
ence, 1919, 136 
National Cash Register Co., 205 
commissary department, Figure, 

280 
community service work, 395 
dental clinic, 199 
lunchroom, 278, 280 
N. C. R. News, 300 
recreation work, 225 
suggestion system, 269 
National Employment Managers' As- 
sociation, 417 
National Housing Association, 318 
National Lamp Association, lunch- 
room, 279 
National Organization for Public 

Health Nursing, 201 
National Safety Council, 184, 238, 

241, 245, 253, 448 
National Tuberculosis Association, 

424 
Nationality, 

census of employees, 156 
survey blank for census, 158 
Naturalization, Delaware, 159 (See 
also "Americanization," and 
"Citizenship") 
Nelson, N. O., Co., 
housing plan, 331 
profit-sharing plan, 375, 388 



526 



INDEX 



New England Telephone Co., Tele- 
phom Topics, 295 

New Jersey Zinc Co., brass bands, 230 

New workers (See "Employees, 
new") 

New York Edison Co., restrooms, 205 

New York Shipbuilding Corporation, 
group insurance, 364 

New York State Industrial Com- 
mission, plan of safety organiza- 
tion, 430 

New York Telephone Co., Tele- 
phone R view, 295 

News-Compics, Merchant Ship-build- 
ing Corporation, 294, 295, 297 

Night schools, 146 

Nolan, John, 320, 334 

Noon-hour meetings, 151 

Northern Connecticut Light and 
Power Co., suggestion system, 

273 

Northwestern Steel Co., brass band, 

229 
Norton Grinding Co.-, 

community service work, 397 

English classes, 145 

housing plan, 331 
Nurses, industrial, 184, 186, 200 

training course, Boston University, 
187 
Nurses, visiting, 

duties and qualifications, 200 

training, 203 



Office of medical department, 180 

Office organization, 42 

Office training, 100 

Ohio Industrial Commission, 238 

Ohio Malleable Steel Co., cafeteria, 
282 

Olmsted, F. L., 314 

Ourselves, Larkin Co., 294 

Owen, Robert, "History of Co-opera- 
tion," 14 



Pacific Gas and Electric Co., acci- 
dents, 240 
Packard Employees' Paper, 294 
Packard Motor Car Co., 

group insurance, 364 

"labor maintenance efficiency," 84 

restrooms, 204 

training system, 114 
Pageants and festivals, 396 
Parks, 220 
Pay envelopes, 

use in Americanization work, 153, 
156 

use in safety work, 254 
Pennsylvania Agricultural Works, 
Farquhar Beneficial Association, 

353 
Pennsylvania Coal and Coke Co., 

Americanization work, 153 
Pennsylvania Railroad Co., 

Mutual Benefit Association, 344 
recreation work, 225 
training system, 104 
Pensions, 369-373 

American Smelting and Refining 

Co., 369 
American Sugar Refining Co., 370 
Bell Telephone Co., 372 
Cheney Brothers, 497-501 
Solvay Process Co., 369 
Personnel department (See "Em- 
ployees' service department") 
Photographs, in plant newspapers, 

294 
Physical examinations (See "Med- 
ical examinations") 
Physical training, 206 

White Co., 206 
Physicians, industrial, 

as employees' service managers, 62 
compensation, 184 
duties and qualifications, 171 
training of, 183 



INDEX 



527 



Pierce- Arrow Motor Car Co., 
Glee Club, 230 
lunchroom, 277 

Plant census, 
Americanization census card, 156 
in Americanization work, 156 
nationality survey blank, 158 

Plant library, in the recreation plan, 
216 

Plant maintenance, 1 1 

Plant newspapers, 291-305 
Greenfield Tap and Die Corpora- 
tion, 295 
in Americanization work, 153 
value of those of other concerns, 46 

Plant spirit, 69-86 

by Americanization, 129 

Play (See "Recreation") 

Playgrounds, 214, 401 

U. S. Steel Corporation, 224, 401 

Plimpton Press, 

co-operative bank, 355 
employees' service department, 31 

Powell, Joseph W., 80 

Price, C. W., 238 

Price, Dr. George M., 18, 424 

Prize contests, for suggestions, 271 

Proctor and Gamble Co., 
Moonbeams, 299 
profit-sharing, 375 

Production, plant newspapers as aid 
to, 292 

Profit-sharing, 

association for promotion of, 376 
A. W. Burritt Co., 379 
William Gray and Co., 383 
Hall-Scott Motor Car Co., 382 
history and principles, 375-389 
Morris and Co., 383 
N. O. Nelson Co., 375, 388 
profit-and-loss sharing contract, 

380 
Sears, Roebuck and Co., 385 
Solvay Process Co., 384 

Promotions, 78 



Proud, E. Dorothea, 18 

Public Libraries, in Americanization 

work, 162 
Public Schools, co-operation with in 

teaching foreign-born, 145 
Pullman Co., 14 
accidents, 240 

R 

Real estate bureau, for housing, 333 
Records, 

for accidents, 246 

methods of keeping, 43 

of employees, 67 
Recreation, 208-235 

advantages, 214 

and Americanization, 217-218 

and working power, 209 

Bush Terminal, 225 

Colorado Fuel and Iron Co., 223 

Goodyear Rubber Co., 226 

National Cash Register Co., 225 

need of, 208 

organized, 211 

Pennsylvania Railroad Co., 225 

Sears, Roebuck and Co., 226 

self -directed, 215 

United States Steel Corporation, 
224, 401 

Wagner Electric Manufacturing 
Co., 222 
Recreation director, duties, 215 
Redfield, William, C, 3 
Relief funds (See "Benefit associa- 
tions") 
Remington Arms Co., 117 

apprentice agreement, 452 

housing plan, 333 
Reports, 

forms for, 45 

labor stability, Figure, 412-415 
Restrooms, 65, 219 

medical department, 182 

women's, 203 
Restaurants (See "Lunchrooms") 



528 



INDEX 



Rewards, 373 

Robbins and Myers Co., R and M 

Co-operator, 295 
Rochester University, 26 
Room registry, 333 
Rosenwald, Julius, on profit-sharing, 

387 
Rowntree, B. Seebohm, 63 
Rubinow, I. M., "Social Insurance," 

168, 358 
Rulebooks, 50 



vSafety, 236-258 
Avery Co., 256 
campaigns for, 254 
committees, 243, 248, 432 
creating interest in, 252, 449 
Eastman Kodak Co., 248 
eye protection, 200 
literature, 446 
meetings, 252, 438 
organization charts, Figure, 249-250 
organization plan, 242-257, 430-450 
United States Steel Corporation, 
241, 251,259 
Safety engineer, 
duties of, 244, 436 
Figure, 245 
St. Helena, Md., housing plan, 316 
Saks & Company, hotel for women, 

332 
San Diego Consolidated Gas and 
Electric Co., stock participation 
plan, 356 
Sanitary standards, National Coun- 
cil of Defense, 424 
Sanitation, 66 
Savings, aids to, 339 
Savings funds, Westinghouse Elec- 
tric and Manufacturing Co., 355 
Sawyer, Dr. William A., 421, 423 
Schools, 

apprenticeship, 98 
medical, 184 



Schwab, Charles M., 80, 82 
Schwartzenbach-Huber Co., Ameri- 
canization work, 125 
Scovill Manufacturing Co., Ameri- 
canization work, 153 
Sears, Roebuck and Co., 
first-aid training, 206 
musical associations, 231 
profit-sharing plan, 385 
recreation work, 226 
Selby, Dr., 175, 186, 206 
Service, meaning of term, 34 
Service rewards, 373 
Service work (See "Employees' 

service department") 
Shefferman, N. W., "Employment 

Methods," 95 
Sherwin-Williams Co., Chameleon, 

295 
Shipbuilding industry, 
labor turnover in, 8 
training systems, 118 
Shopwork, training, 99 
Shower baths, 207 
Sicher, D. E. Co., 
educational plan, 148 
English classes, 135 
Sick benefit associations (See "Ben- 
efit associations") 
Simonds Manufacturing Co., train- 
ing system, 109 
Slogans, for safety work, 255 
Smith- Hughes Act, 119 
Solvay Process Co., 

Americanization work, 161 
pensions, 369 
profit-sharing plan, 384 
South Billerica, Mass., housing plan. 

Talbot Mills, 328 
Southern Flour Mill, lunchroom, 281 
Southern Pacific Railway Co., labor 

turnover, 8 
Spe:d-up, 294 

Spitz and Stern, "Food for the 
Worker," 290 



INDEX 



5 2 9 



Standard Oil Co., 

Lamp, 295 

medical department, 188 
Standards, sanitary, 424 
Statistics, labor turnover, 4 
Steel industry, accident frequenc 

rates, Figure, 239 
Stock, participation plan, 350 
Strawbridge and Clothier Store, 

choral society, 233 
Street railway companies, labor turn- 
over, 6 
Suggestions, 259-274 

awards for, 267, 271 

blanks for, 264 

Commonwealth Edison Co., 274 

creating interest in, 262 

from plant newspapers, 46 

handling of, 271 

Hercules Powder Co., 273 

National Cash Register Co., 269 

Northern Connecticut Light and 
Power Co., 273 
Surgical room of medical department, 

181 
Suspension of employees, regulations, 

7i 

Swift and Company, pensions, 370 
Syracuse Chamber of Commerce, 
Americanization work, 163 



Talbot Mills, housing plan, 328 
Teachers, training to teach English, 

137 
Terminology of employment, 32 
Trade education (See "Industrial 

training") 
Training (See "Industrial training") 
Training course in employment man- 
agement, Rochester University, 
26 
Transfer of employees, regulations, 7 1 
Tucker, Dr. George C, 177 



Turnover, labor (See "Labor turn- 
over") 

U 
Unemploym ent, 
causes of, 169 

due to accidents and illness, 168 
United Shoe Machinery Co., 
brass band, 229 
lunchrooms, 281 
United States Bureau of Labor 

Statistics, 417 
United States Cartridge Co., acci- 
dents, 240 
United States Chamber of Commerce, 
Americanization work, 163 
housing plan, 334 
housing studies, 307 
United States Department of Labor, 

55 
Bureau of Industrial Housing and 
Transportation, 310 
United States Housing Corporation, 

307, 309 
housing reports, 311 
United States Metal Renning Co., 

Americanization work, 151 
United States Public Health Service, 
"Studies of the Medical and 
Surgical Care of Industrial Work- 
ers," 175 
United States Rubber Co., 

Americanization committee, 128 
training system, 92 
United States Shipping Board, 
Emergency Fleet Corporation, 
housing at St. Helena, Md., 316 
United States Steel Corporation, 
brass bands and choruses, 231 
community service work, 393 
housing plan, 330 
playgrounds and kindergartens, 

224, 401 
recreation work, 224 
safety work, 241, 251, 254 
stock participation plan, 356 



530 



INDEX 



University Extension, Massachusetts, 

Department of, 163 
University of Cincinnati, College of 

Medicine, 184 



Victor Talking Machine Co., group 
insurance, 363 

Visiting committee, Bridgeport Brass 
Co., benefit association, 348 

Visiting nurses (See "Nurses, visit- 
ing") 

W 

Wages, 

adequate necessary, 339 

relation to labor turnover, 23 
Wagner Electric Manufacturing Co., 

recreation work, 222 
Waiting-room , medical » department 

180 
Waller, H. T., 132 

Walpole Town Planning Committee, 
"Town Planning for Small Com- 
munities," 404 
Waltham Watch Co., brass band, 229 
Wanamaker, John, educational work 

of, 115 
War, 

emergency training, 100 

housing planning during, 307 
Welfare supervisors, 16, 62 
Welfare work, 

attitude of labor towards, 16 

cause of failure, 14 

criticism of, 14 

objections to term, 19 
Western Electric Co., 

medical examinations, 192 

training system, 1 1 1 

Western Electric News, 295 



Westinghouse Electric and Manu- 
facturing Co., 

first-aid training, 206 

lunchroom, 281 

savings fund, 355 

training system, 118 
White Co., physical training, 206 
White Motor Co., 

Employees' Sick Benefit Society, 

349 

White B ok, 295 

Wigmore, John H., 168 

Willard Storage Battery Co., English 
classes, 144 

Winchester Repeating Arms Co., 
safety engineer's duties, Figure, 
245 

Women and girls, working conditions, 
64 

Women, restrooms for, 203 

Wood, Edith Elmer, Housing Better- 
ment, 323 

Woolwich Joint Committee of Trades 
and Labour Council, statement, 
17 

Worcester, Massachusetts, housing 
plan, Norton Co., 331 

Working conditions, 22, 64 

Working force, 
cost of hiring, 5 
maintenance of, 4 

Workman's compensation, 240 

Works manager, relation to em- 
ployees' service department, 38 



Young Men's Christian Association, 

120, 223 
Youngstown Sheet and Tube Co., 

industrial relations department, 

35 



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